Be sure to factor in repair costs to keep things profitable.

Warning: This post contains many charts, and I did not see a way to simplify the presentation.The zip codes in this study include: 89002, 89011, 89014, 89015, 89031, 89032, 89044, 89052, 89074, 89084, 89117, 89123, 89128, 89129, 89131, 89134, 89135, 89138, 89139, 89141, 89143, 89145, 89147, 89148, 89149, 89178, and 89183.

that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

The biggest determining factors for STRs in the area are purchase or build price (and associated mortgage) vs rental expectations, that will help you determine net cash flow.

I'm sure they are out there but this is just a rule of thumb and I would rather use J Scott's approach when he analyses deals outlined in his book.You factor in your desired profit as a cost and you work backwards.

I net about 3.5-5k a month(depending on airbnb) after all expenses including my primary residence and utilities there.I have built up a good amount of equity in the houses due to the renos I've done mostly myself and also from buying low during covid.

Interest Rates: Current spreads, rate structure, buydowns, mission driven business, factors that influence your rate, etc.5.

Exceptions include delays caused by factors outside the Subcontractor’s control (e.g., weather, material delays).5.

Next steps include analyzing deals, connecting locally, and studying financing options.Good luck!

Anthony,Per my previous numerous communications, JBS is in the process of finalizing all accounts including yours.