Rental arbitrage may not be a bad idea for now in certain states but a lot of states are tightening their grips around Airbnb which can lead to laws and regulations changing overnight and you’d be left in a tight spot depending on the terms of the lease.

Ask about the maintenance history.Units: Visit as many individual units as possible to assess their condition and note any necessary repairs or updates.Structural Issues: Be vigilant about signs of water damage, mold, or pests, which could indicate larger problems.Safety Compliance: Verify that the property meets all local safety and building codes, including fire alarms, extinguishers, and emergency exits.Financial and Operational AspectsRent Roll: Request a detailed rent roll to understand current rents, lease terms, and tenant occupancy.Expenses: Get a breakdown of all operating expenses, including utilities, maintenance, insurance, property management fees, and taxes.Income Verification: Ask for historical income statements (preferably 12 months or more) to verify the revenue.Vacancy Rates: Inquire about the historical and current vacancy rates and how they compare to the market average.Tenant Profile: Understand the tenant mix, including residential versus commercial tenants, lease lengths, and tenant turnover rates.Property Management: Find out if the property is currently managed by a professional management company and if you will retain or replace them.Legal and ComplianceZoning Laws: Ensure the property complies with current zoning laws and inquire about any zoning changes that may affect the property.Rent Control: Determine if the property is subject to rent control or other regulations that could impact income.Permits and Licenses: Check that all necessary permits and licenses are up to date.Value-Add PotentialRenovation Opportunities: Identify areas where you could add value through renovations or upgrades.Rent Increases: Assess the potential for increasing rents based on market rates and property improvements.Additional Income: Explore opportunities for additional income streams, such as laundry facilities, parking fees, or storage rentals.Environmental ConsiderationsEnvironmental Hazards: Check for any environmental issues like asbestos, lead paint, or underground storage tanks.Flood Zones: Verify if the property is in a flood zone and the implications for insurance and risk.Questions to Ask the SellerReason for Selling: Understand the seller’s motivation to gauge the urgency and possible negotiation points.Recent Repairs and Improvements: Ask about any recent capital expenditures and future planned repairs.Tenant Relations: Inquire about the relationship with tenants and any ongoing disputes or issues.Due DiligenceProfessional Inspection: Hire a professional inspector to conduct a thorough examination of the property.Appraisal: Obtain an independent appraisal to verify the property’s market value.Legal Review: Have a real estate attorney review all contracts, leases, and legal documents related to the property.By covering these aspects, you’ll be in a stronger position to make an informed decision about your potential investment.

Going with the latter and hoping to establish a relationship with the local lender going forward. 

When the public threw out the leftist politicians who were worried about criminals “rights” rather than victims rights and eased regulations on business, encouraged new construction rather than prohibiting it, the NYC turned around.  

Can anyone recommend some helpful (wholesale)Law Firms in GA that tend to give advice/info about laws and regulations?

Keyrenter is an established residential property management company with close to 10,000 properties across the country.

If you have no lates in the last 12 months and re-established credit meaning you have atleast 3 tradelines you have made ontime payments on for the last 12-24 months you may be eligible for VA financing with 580 min or lower scores depending on the scenario.Most of the time these type of files with be a total cluster and require 30-40 conditions ranging from letters of explanation, additional documentation, and or other to close.

In the general environment right now, state regulators are looking for every excuse to go after "real estate investors".

Francis, If you haven't, start establishing a relationship with some lenders in your area.

Best, Justin  Hi Justin - as you've noted - DSCR Loans are typically the best bet for this (Mid Term Rentals) and typically are for these newer/innovative strategies as DSCR Loans are typically done by private lenders that can move and adapt fast (versus slower moving lenders that must follow GSE guidance or banks that are under a lot of regulation and bureaucracy)Check out this article published at the end of last year here on BP that talked about "whats coming next for DSCR Loans in 2024" - Medium Term Rental financing solutions was one of the main topics!