However, capital gains tax (if not exempt) and transaction costs could eat into profits.Cash-Out Refinance- If rental income covers both mortgages, this could scale your portfolio faster—but be cautious of higher mortgage payments and interest rates.If you have any other question, send me a DM or email!

For expansion, innovation, or simply covering cash flow during slow periods, access to capital is often a barrier.

Additionally, I know the Waivo product for STR covers intentional and accidental damages.

Keep in mind, many DSCR loans have prepayment periods, so if you enter into a 3 year ppp, then refi out after 12 months, you will have to cover some penalties at exit to the consumer loan.Cheers!

We put back most of the money back into our business, as the cost of living for me is covered by the student rentals.

I'm slowly making smaller improvements, like paint, light fixtures, and outlets, but my townhouse does need some larger repairs, such as new floorboards for my large deck (not covered by the HOA), an overhead light in the master bedroom, and new flooring in the basement.

I think @Brian G. and @Jaycee Greene hit it on the head: an event occurring/debt resetting.When the debt forcefully resets on some of these assets, valuations drop if the submarket cap rate has expanded and/or if the operator can not show a good t-3, t-6 etc due to economic vacancy and rising opex (insurance, r&m etc).If the operator can't inject equity to cover the difference, then trouble arises.

These properties cover my mortgage, allow me to save for maintenance/repairs, and are projected to be worth $7–9 million by retirement.

You will also discover the warranties don't cover as much as you think, and claims are often denied.Home warranties are so bad that most professional property managers will not manage a property with one in place.

This is the percentage of costs (purchase and rehab) covered by the loan.