My expectation is that they won't pay it, or ignore it altogether.Lastly, if they are actually able to prove your home was in such bad condition that it was uninhabitable, they may have a leg to stand on for early termination/abandonment.

Are you essentially saying the expected higher interest rate is the main issue with the strategy?

I wouldn't want to be doing a new BTR deal right now and ReFi at a 7-8% rate, unless of course it penciled.When subbing out to other contractors, you can expect to pay 20-40% more than it would cost you to manage/do the work, so make sure you bake that into your model as well.

But it's going to take a while, which I was expecting anyway.

We’re sorry to hear that your experience fell short of your expectations, we value this opportunity to reflect and improve.We worked closely with you for over a year to prepare your property for success in the short-term rental market.

As a general rule of thumb most municipalities expect for the applicant to demonstrate hardship.

@Celine Li Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

For example, if I want to install new plumbing in the bathroom because the old one is old and broken, would I need a permit to do these fixes? 

We expect to make 3-4X our invested capital.

After you paid for a hotel for your tenants for the last week while the ac, the heat or the water heater was broken.