I’d suggest you dig into the numbers, compare it to what a regular sale would give you, and talk to someone who specializes in this type of deal.

Hey Christine, I might be biased, but you could look into Cleveland, Oh.Here are a few things to consider against investing there:- Slower appreciation compared to some other markets- Harsh winters, which can lead to higher maintenance costs- Many discounted single and duplex might need repairs or updates, especially if the previous owners haven’t kept up with maintenance over the years- Some local regulations to be aware of (nothing crazy, but worth noting when trying to close deals).But there are also some solid reasons to invest in Cleveland:- Affordable properties in the $100K-$300K range- Strong long term rental market due to a high rent to price ratio- Landlord friendly laws overall- Potential for great cash flow- Opportunities for Section 8 tenants- stable market once you have the right team in placeEvery market has pros and cons so it comes down to your budget, risk tolerance, and finding a reliable crew you can trust.

Does anyone have any referrals for property managers in the Los Angeles area who specialize/ have experience in mid term rentals? 

Berkadia is #1 Freddie Mac Optigo, #3 Fannie Mae DUS, and #3 HUD/FHA multifamily lender in the country as of YE 2022, and my team originated ~$325,000,000 in agency loan volume last year.Lately I’ve noticed many of you asking about multifamily financing options, and thought this would be an opportunity to host an AMA regarding Freddie Mac and Fannie Mae agency multifamily financing, an area in which I specialize.

Hello Andrew,I’d recommend starting by finding an agent who specializes in rental properties.

As loans are offered on preREO at a discount, a payoff or reinstatement would typically generate a good return for the preREO investor.

Also, consider lenders that specialize in investment property financing, like LendingOne or Kiavi. 

How do I go about finding those who'd rather just collect the insurance money then sell it off at a discount?  

Here's the bigger lesson I learned: If a tenant asks for special considerations, or reduction of fees - those are ALWAYS the ones who are the problem tenants.  

Syndication Reporting IssuesMissing Form 8918 for reportable transactionsInconsistent investor disclosuresRequired registrations skippedWhat Doesn't Actually Matter:(Despite What Your Uncle's CPA Says)Special AllocationsNormal promote structuresStandard waterfall provisionsTypical developer promotesReality: Unless extremely aggressive, IRS rarely caresTechnical DocumentationMinor §704(b) gapsCapital account glitchesTechnical allocation languageTruth: Unless hiding something biggerProperty Value AllocationsNormal basis step-upsTypical appreciation splitsStandard promote calculationsReal World Example:🏢 100-unit apartment complex4 partners, $5M dealDeveloper promote structure= Zero IRS interestSame Deal With Red Flags:🏢 100-unit apartment complexHidden partner arrangementsArtificial loss allocationsUnreported debt shifts= IRS AttentionPractical Protection Steps:Basic Documentation✅ Clean operating agreement✅ Economic substance✅ Partner contributions tracked(Don't need War & Peace complexity)Economic Reality✅ Allocations match economics✅ Real money movement✅ Actual partner participationClean Reporting✅ Consistent K-1s✅ Required forms filed✅ Clear communicationThe "Sleep Well" Test:Can you explain your structure to an IRS agent without sweating?