Out of curiosity - how often do you talk/update your OOS clients and how often do they fly in to walk the property?

Out of curiosity, were you able to get a lower valuation due to the vacant unit?

Ironically, they were so good at raising funds that it caused serious problems in their business.Because they raised funds so readily (real estate celebrity owner) they had serious pressure to acquire new deals to put the capital to work as the preferred returns are constantly accruing.

Then, once you pay it down you repeat the process - take another $10K chunk over to the HELOC and pay it down.I think the main thing people don't understand is that the interest on your mortgage is accrued over time, but it's not OWED, it's SCHEDULED.

@V.G Jason as I understand it, and still doing research, but you fund your whole life cash value life insurance policy and use that as a savings account accruing 3-5% on your money.

Up to this point the investor has received 100% of the cash flow because 4% accrued from year 1 and didn't get caught up until year 3.As to waterfall structure, hurdles can be based on IRR or Cash on Cash. 

Out of curiosity, as I am not considering arbitrage myself, but as the person renting the property and running the STR, how do you ensure the owner renews the property’s license each year? 

Nick,Just out of curiosity the conventioanl option with 95% LTV and no Mortgage insurance is this a Portfolio Program? 

Any additional rescue or improvement funds provided by you during ownership would be preferred and premium, meaning they are paid back first and accrue at 8-10 ish % interest. 

Just out of curiosity, are you feeling like owing a little piece of Costa Rica?