Have setbacks changed since the property was originally subdivided?

Originally posted by @Tim Nelson:Thanks for the details @Jason Taliaferro.

:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

Just remember to factor in that you will now have fixed monthly payments on the original three which will reduce your cash flow.

As a quick backstory, I'm originally from MD and graduated from UNC Wilmington.

BP is a great place to learn and connect with fellow investors.I'm originally from the Panhandle area and moved to Ohio for the investment opportunities.

It’s one regret that sticks out the most of my life is losing out on the portfolio I would have if I hadn’t originally quit.

My local real estate attorney made significant changes to the state-specific lease I originally had to accommodate the unique situation of house-hacking and county laws.

There are other factors to consider, to be sure, but on that score I disagree.