If you take cash out the irs perceives it as taking profit even though you think of it as replacing losses. 

Even though it's NNN they still perceive risk so what better property to NNN than your own. 

Hello BP community - I'm reaching out with a question following a series of events (some mold related) that has led to 3 of 4 college tenants in my SFR having their parents request release from their lease 3 months early due to perceived air quality concerns.Background (University rental in MN - lease started Jun 17 with 4 college roommate - parents cosigned and pay rent):- In Sep 17 we had a minor roof leak that was corrected immediately (flashing)after notification with only minor paint damage and no sign of mold (from the attic or interior wall). - In Nov 17 tenant's parents (these are college students) call my property manager to report a broken dryer and mold growth in the basement laundry room, a bedroom above the laundry room, and in the bathroom.

Also providing basics like coffee, tea and water really help with perceived value thus you can charge a little extra as not all places offer that.

The buyers will perceive your listing as a new house in the market and they will have an urgency to go and see it and put an offer right away if they like it.

Maybe these agreements will help them get past their concerns.I have had angry neighbors complain when I turn a property to a rental, but it is their perceived concerns of future problems, not real problems.

You are paying a very high premium to purchase perceived cash flow and have actually turned the property into a liability as opposed to a asset.Your property with rent at $1000/month is far too low for a property valued at $150K and is already negative cash flow when accounting for the artificial cash flow that you are buying with your own cash/equity.

So maybe these might be alternatives.Provided that 12 months of rent are all paid no later than the 5th, you could:*Guarantee a lower rent increase on lease renewals (1%-2%)* Offer inexpensive but high perceived value items (i.e. big screen TV) for lease renewals * Provide a Winter Fuel Credit in December if tenants pay for heating fuel * Offer a choice of unit upgrades that you may have been planning to do anyway (repaint, new appliance, ceiling fans, etc.)Basically, find ways to incentivize and reward your tenants with something other than a rent discount. 

If you have an older house that was added to decades ago, and the county records do not reflect those changes (they did not obtain permits back in the days when this was not well policed,) the AVM will kick in and a huge discrepancy will occur in perceived value.

I hope that he starts to think about how others may perceive this.It is of the utmost importance how you are perceived, especially when you're trying to network in an attempt to draw up business.