He was happy to allow me to rent out nightly because it actually helps keep his property in better shape than a long term renter (having a cleaner in there every turnover, short stay guests always let you know when something isn't working, etc) but didn't want to hassle with worrying about a percentage of income/management, etc.

Currently finalizing a deal for another property with a different individual investor where we will have the same payout model, but they will put up a bit more cash to cover all the admin work I have to do to set things up. 

And a percentage of the revenue gets auto-directed to the CapEx subaccount.

Rene,To me it really depends on the market you are in. what percentage of the rent and monthly expenses does $100 represent? 

Our extensive clientele base spans across the country, and while we may charge a minimum fee that may deter a certain percentage of prospects, we believe in emphasizing the value that a competent CPA brings to your investment operations.With over 25+ years of experience serving in large middle market accounting firms, I bring a wealth of knowledge and expertise to our firm engagements.

If it were to read LP member owns XYZ% and will receive a certain percentage of proceeds based on property performance, that's a different story.

I suspect a very large percentage of them will desire to stay coastal. 

At least the return is beating historical S&P by a couple of percentage points.  

Little details like that are why I obsess over digging deeper than just the metrics.Metrics I find useful:Expense Ratio: Look at operating expenses as a percentage of gross income.

Now i am capped at the rent increases i can provide to encourage them to give notice (one reason it is important to keep rent near market rent) and i no longer have the option to not renew their lease.there is a reason spa very large percentage of economists are anti rent control.