Also make sure you understand everything about adding an ADU including value of the ADYPU, financing, impact from rent control, duration between initial expense and initial income, true cash flow (know the 50% rule, at 50% rent ratio initial property tax will be near 20% of income)- educate.  

My kids are old enough to understand RE investing.

You can outline this in the lease with clear examples so tenants understand how it works.

Hey Sarah, We have a property management company in Waterville, Augusta, Skowhegan (Standard Management Company).

Ok, I understand, just making sure the company is legit.

It’s challenging to understand how someone could allow their property to be sold at a tax deed auction.

Consider property management services and tools like AirDNA to understand local demand and occupancy projections.Good luck!

For a standard 3/2 with 1,200 sqft we usually spend 50-80k on a full rehab, 10-15k holding cost, 15-20% profit before tax, 7% cost of sale.

Verifying last 2 years of rental history and income extremely important to find the “best of the worst”.Make sure you understand the Class of properties you are looking at and the corresponding results to expect.The City of Detroit has 183 Neighborhoods we’ve analyzed.PM us if you’d like to discuss this logical approach in greater detail!

Due Diligence: Investigate the MSO’s financial health and west coast strategy to better understand your risk exposure.For deeper insights into structuring deals and assessing investment risks, I’d like to invite you to our Zero to IPO webinar.