Factor in the cost to repurchase those rate caps, and that’s the true DSCR on the current debt or look at the DSCR based on the equivalent fixed rate debt interest rate.If you’re looking for high level feedback, I would say that it is extremely likely that fund 2 is heading in the same direction as fund 1.

If that's not the monthly income, you are arriving at your cap rate by using incorrect expense ratios/expense figures and/or the property benefits from an extremely favorable tax abatement which skews the operating costs.

We have a savings account where we split up into different buckets (from our w2 and passive income) and one bucket is for real estate and when we have enough to acquire another asset we will consider it.I am not a fan of borrowing 100% of the transaction costs including closing costs as it will be extremely difficult to make money many times on those types of deals.

Over the last (3) years I have seen some extreme cases of expedited equity where an investor buys an older home or "Ugly Inventory" and then bats clean up on the ARV in 12 months.To give you an example I helped an investor refinance her home in 2023 pull cash out to buy a $65K home all cash.

The current owners have extremely low occupancy and are open to selling.

But after getting to a certain point in the process (keep in mind I haven't closed yet) I am left feeling extremely nervous with what the future holds on this property as far as some things go.

Given it's in a very low population area, it may just be an extremely slow, low demand rental.

Overall, the setup and funding process was extremely straight-forward and the customer service was great.  

@Kieron Osullivan That was EXTREMELY helpful, thank you so much.

While it’s not impossible to close in mid December and still meet all requirements of the STR loophole, it will be extremely difficult due to the nature of hitting 150 hours, having it rented for 15 days or greater and having the avg stay be no greater than 7 days and not a decimal more.