It's understandable that unexpected things arise sometimes, especially when you're opening up walls or dealing with older electric or plumbing.

We’ve since tightened up our due diligence process.Has anyone else dealt with an unexpected 80% vacancy in what seemed like a stable property?

This helps you identify which factors drive the best returns and make confident, informed decisions.It’s also important to test your numbers with scenarios like higher vacancies, unexpected expenses, interest rate changes, or rent adjustments over the years.

There is a company in my area that it looks like it will cost me about $400 a year per property but after this week I would welcome that "insurance" as I just had a large unexpected AC bill.  

We back into the "strike price", meaning the maximum price we're willing to pay for a property, by starting with a conservative ARV and then backing off our required profit, the rehab cost, the time value of money (carrying costs and interest), and a contingency reserve for unexpected expenses.

Cleveland investors often aim for COC returns of 8–12%, so you’re in the right range.Net Cash Flow: $277/month is positive and provides a buffer for unexpected expenses.

For flipping, focus on accurate ARV estimates and budgeting for unexpected costs, while for BRRRR, building strong relationships with local lenders that can help streamline your hard money into your refinancing.

Sometimes, it’s just a misunderstanding—maybe they thought the amount was prorated, or they ran into an unexpected issue.

Their explanation: "The overall theme for 2023 is that unexpected roadblocks and delays throughout 2022 put us behind our originally targeted timelines for infill (occupancy increases) impacting how quickly we could increase revenue."   

Make sure you've got cash reserves for closing costs (around 2-5% of the purchase price, repairs and maintenance (aim for 1-2% of property value annually), vacancy periods (budget for 3-5 months of expenses), property management (if you're not self-managing), emergency funds for unexpected repairs.When choosing markets, look for those with stable job markets, growing population, and strong rental demand.