Some people use the rent/price ratio, cash on cash return, annualized ROI, etc.

He obviously had no idea, so he made up a number that was actually about 50% greater than what the ENTIRE real estate guru industry grosses annually.

As a reminder, this discount is only applicable to the annual subscription.

Do you want a 10+% annual cash flow return out of this property?  

If the ground rent isn't registered, the annual rent, etc. cannot be collected or enforced and there's no point even worrying about it.If the ground rent is registered, you can determine the exact amount to redeem it -- it's a simple calculation based upon the date of the original lease and the annual rent.

They increased my annual by $500.  

Sales price: $900,000Seller finance: $400,000 / 2 year ballon / 7% interest rate / interest only monthly payment: $2,333 / no pre-payment feeEstimated monthly income: $9,300 / Annual: $111,600Electric separated - water $450 per monthProperty taxes: $16,700 (with property value assessed)Property Insurance: $6,300Renovation Repairs $150,000I anticipate the Re-fi appraisal to come in at a conservative $1,150,000. 

They then set it up so each booking is automatically charged $70 so each booking is covered.If you're getting lots of bookings it's likely far more expensive than traditional liability insurance for your LLC that is paid on an annual basis. 

You have to pay an initial set-up fee to the bank and an annual fee but we're talking small amounts.Some people don't like this concept and I think that it's because it's misunderstood.

Almost all the STR properties are priced at around 10x multiple of their gross annual revenue, which puts your house right at average ($859k sale price for $83k annual revenue).