I balance my portfolio so that I always have a slight buffer of PAL.

I add 20-30% to any rehab budget for contingencies / as a buffer, and Im local to my projects. 

This percentage helps maintain a buffer for unexpected expenses and maximizes the chances of a profitable resale.Use Leveraging to Your AdvantageLeveraging can turn a little money into healthy cash flow and increase the potential for returns.

Always work pm into your numbers as a buffer whether you do your own managing or not. 2% of purchase price in rent is a good place to start for cash flow.

I use that percentage simply as a small buffer until I gain more experience and confidence in my ability to evaluate properties.

I looked at areas that were no more than about a 20 minute drive from my house.Then I narrowed the area down to neighborhoods that were sort of that in between buffer type neighborhood.

Just make sure you give yourself 4-6 months of buffer time to look for the next property once the lease is signed on your current!

If I were to conservatively run an estimate, I’d take the total revenue on airdna and multiply it by .70 to reflect the cleaning fee, maintenance, and a small buffer.

PRELIM LAND PLANNING- do a preliminary layout, please remember stream buffers, specimen trees, ANY jurisdictional waters (its a good idea to have you county water systems guy come walk your property with you to verify any jurisdictional water systems and what the required state and county buffers are for those systems).

Have some buffer in your estimate (you will always go above your budget 90% of the time).Your builder is the real MVP here.