Understand the fees involved and calculate the total cost for an entire year of management so you can compare the different managers.

Then, sell around the 7-10-year mark for the big exit to calculate the 15% IRR.

Hey @Jeroh Odafe, we have a proprietary BRRRR calculator and I've assessed the contemplated transaction with our tool.

How was the as-is value calculated?

View report*This link comes directly from our calculators, based on information input by the member who posted.

To address this, we verify the property owner per government records and use this information to vet imposters.Anything that seems suspicious will lead to us requesting an acceptable Letter of Explanation to address.Analyze IncomeMany landlords require a month of paystubs from applicants and just use these to calculate a monthly qualifying income.

I found a good answer to my question in a video by Coach Carson about How to Calculate the IRR.

Calculate monthly cash flow by calculating mortgage payments, property taxes, insurance, maintenance, and rental income.

BiggerPockets also has a calculator you can use to analyze deals and I highly recommend you start this as soon as possible, even if you are not ready to buy.

This is not just a product of how frequently the manager can find guests for your Airbnb, but also what price she is able to charge for the nights rented, and perhaps even more importantly, how much of that rental income ultimately flows to you as the owner.If you sign a guaranteed income agreement with the manager, this amount is set.If you use a shared success (or commission) agreement, the calculations can be trickier.What is the vacation rental manager’s commission rate?