.#1 tip I'd give if you're buying existing (or building) is to call the assessor and ask specifically what the new assessment will be after improvements.

Ask me privately.Financial Highlights- Gross Potential Rent: $98,061 per month ($1,176,732 annually)- Total Income (5/1/2023-4/30/2024): $1,357,459.80- Net Operating Income: $896,896.09- Existing assumable loan: $6.7M at 5.38% fixed rate until 2029Value-Add Opportunity- Partially renovated property with potential for further upgrades- Current loss-to-lease suggests room for rent growth- Opportunity to implement operational efficienciesMarket Dynamics- Huntsville's population grew 9.4% between 2020 and 2023- Strong job growth, particularly in aerospace and defense sectors- Significant multifamily supply growth (15.9% inventory expansion in past year)Investment Strategy- Assume existing favorable financing- Implement value-add renovations to drive rent growth- Capitalize on Huntsville's robust economic expansion- Target hold period: 3-5 years to align with loan maturityRisks and Considerations- High market-wide vacancy rate (17%) due to recent supply growth- Potential for market softening due to rapid inventory expansion- Property age may require significant capital expendituresThis opportunity offers a blend of stable cash flow from the existing operations and upside potential through strategic improvements, all underpinned by Huntsville’s strong economic fundamentals.ⓘ This is not an offer, solicitation of an offer, to buy or sell securities.

10% is not going to exist, 15% still does currently, but it will be very hard to make work considering the current environment. 

Feel free to reply here or DM me—I’d love to learn more about your investing strategies and see how we can help each other succeed.Wishing you all a successful and prosperous 2025! 

If you identify a problem, ask the seller if it was pre-existing or caused by the current tenant.

But on this specific guy, I jumped on a call to explore the program and it was a high pressure sales call, it did not feel organic, not trustworthy and certainly did not feel the right fit.Why would someone spend 10k on a so niched-down space of real estate when they can get someone for the same amount to teach him/her everything?  

There has to be an existing reason. 

Acquiring pre-existing rental portfolios?

I wouldn't buy existing.

Interest/mortgage rates are at historical highs, crashing new home construction and existing home sales to the lowest level in 30 years.