What is the best configuration (bed/bath count, building type, etc) in your area and for your target clientele?

It's a 4 bed 2 bath house.

Rents for 2 bed 1.5 bath are very strong at 1200-1250 while current rents sit at 800-850.

Each room is fully furnished with plush full size bed on a 15” tall frame for storage, smart TV, desk and chair, night stand with lamp, artwork, full size mirror, and clothing storage.  

Purchase price: $350,000 Cash invested: $600,000 I own and operate Platinum Resort Assisted Living, a 16-bed Memory Care Mansion located in the heart of Georgetown, TX!

Example: In Lancaster, CA : You can buy for $400k SFR say : 1000 sq ft 3 beds 2 baths At 5% down: that’s only $20k plus $10k closing costs: $30k Another $80k for the ADU: and rent it out for $1500 per month : Gross cash flow : $1k per month Refi and get your $80k back and wait 1 to 2 years for interest rates to fall to the 5s or even 4s : Then refi again : and you will cash flow $1,200 to $1,500 per month and only be in the deal about $30k to $50k if that… Let me know if you want to discuss?

From my understanding, if its passive income, just a room-by-room rental, it would go on your schedule E just like any other rental. if its active, like a short term rental situation or mid-term, something like an airbnb or bed and breakfast where you're actively including extras, it would be filed on a schedule C. disclaimer, im not a tax person, so double check this with your tax pro. when you go to qualify for your next purchase, whether that's for primary or inv., using a full-doc loan... if its schedule C, you would need to do a 2 year average of this income in order to use it. its looked at as a business, and self employment income. if its schedule E, theoretically you could use the schedule E income calculations just like any other rental even after the first filing.

The houses are typically brick, 3 bed and ranch style and although there is crime in 38118, it has a strong tenant base and these are some of my better performing houses.

I'm not one to plug my business and there is enough good, bad and ugly online for all to see.You will find many "real world" reviews on both Ohio Cashflow and Oz Realty via a Google search.Not perfect by any means and we make mistakes.Honest mistakes that we do our best to rectify.Standing the test of time in a real estate niche called turnkey that has been scared by many shady operators speaks for itself IMO.I will say this, investors buying sub $100,000 properties and only owning 1 or 2 and expecting miracles are usually unsatisfied.Sub $100,000 requires volume to work and for a decent long term return to be realized.Our price points are $70,000 - $100,000 and rent's are from $750 - $1,100pm2bed, 1bath and 3 bed, 1 bath is our bread and butter.Sometimes 4 bed, 1 bath and rarely 4 bed, 2 bath or 3 bed, 2 bath.The odd duplex from time to time and the odd 4 unit or 6 unit but those are rare.B class areas mostly.Sometimes B- and C class on occasion which we will stress clearly in any deal pro-forma along with the pro's and con's.Also, those that get their panties in a tangle and decide to leave the wing of Ohio Cashflow, we can't help much anymore as it get's messy and muddy so we have to politely bow out from any continued engagement. 

It won't make sense for every traveler, particularly for a single, business traveler only staying one night, I might argue that STR's wouldn't make sense.But for a family of 5 that would have otherwise had to share 2 double beds and call in a cot from the front desk, it's a no brainer.My family of 5 was able to book a condo on the beach for 4th of july for 4 nights, about $250/night all in!