Something good to keep in mind too is to keep a contingency in your budgets to ensure you've always got enough funded for the rehabs.Once you get a few under your belt then your LTV's will be higher and your rates will be lower.

@Sean PetrashTo find a suitable property for short-term rentals in New Braunfels, consider factors like budget, market realities, property type, location, financing options, contingency planning, STR research, alternative rental strategies, driving for dollars, property management, and long-term vision.

If you ever get sued, and a contingency based attorney looks at your property, and doesn't see a note attached, that is a low hanging, ripe fruit.

However, you could try pushing again with the 900k (cash, DSCR, conventional etc) plus whatever terms/contingencies you want to add.

I would also say that markets like Manhattan are not super representative of most markets in the US - a lot of foreign investment I'd imagine in NYC, Miami etc - I'd guess a lot of these cash purchases are more about exchanging unstable or risky foreign assets/currencies for perceived stability/safety of US top metro residential real estateI think in a lot of other markets where this isn't relevant - I think most are cash offers being "king" as not having appraisal or other contingencies that might sabotage the sale after 30 days or so and make people re-list (sellers will take less to avoid this risk and downside)

The deal still worked at the increased price, but I learned that I need to increase my contingency on deals of this type.

The deal still worked at the increased price, but I learned that I need to increase my contingency on deals of this type.

The financing contingency period is up tomorrow and it looks like they are going to back out, so I guess we will put the property back on the market as a cash-only purchase and see what happens. 

Of course, there are a lot of things to look out for...setting up an appropriate contingency reserve for unexpecteds, getting an accurate scope of work, properly knowing what your time-value-of-money costs are going to be, making sure you're contractor is not pulling crews for other customers, knowing codes and getting your permitting right, and the list goes on.

On my listing, the agent simply said that there is a buyer's agent commission of x% on full price offers with no unreasonable contingencies.