You need to find the historically highest level of vacancy in your market and make sure that your asset can withstand that level of vacancy at the price you are paying/debt you are taking on.You need to be buying at a 1.5x DSCR at the very least, to make sure that when vacancy spikes on you, you can still meet the 1.25x DSCR that you need to stay afloat, when you consider the routine capex needs that a typical apartment complex is going to need.If you are buying an SFR, you need to determine how many months you can go without a tenant, because if your only tenant loses his/her job in a recession, you now have 100% vacancy.

Without boring you with a ton of details, I began a renovation on a mostly occupied building, with a fairly educated budget, an arsenal of tools that would make Bob Vila jealous, a 360lb back squat max, and a belly full of piss and vinegar.  4 months later I am crabby, exhausted, carrying some credit card debt, consuming espresso like water, and just want to lay in a hammock for 3 days and drink myself to sleep until its time to lift weights again, and think about a better way to live.

I feel a bit conflicted about the advice about selling the Vegas rentals, as they are cash flowing nicely and they can withstand market corrections, both in terms of cash flow and in that I have large amounts of equity in them (could sell if needed).

So if you bought 4-unit properties, that is a total of 40 units before you would exhaust the conventional loans.

Its exhausting…..6.

@Kevin Phu the home I purchased is well kept nothing to do except eventually change the linoleum flooring and laminate countertops, half the garage was converted to an office (permit was used), and they have an over the range microwave, were I just have an exhaust fan.

It was just a time consuming, exhaustive conversation.

Even then, I still perform an exhaustive amount of research to make sure I'm not overlooking something important, such as the quality of the local schools, the city's plans for growth and renovation, employment outlook, and any special tax assessments levied on the property.I've seen a lot of people buy a house 2,000 miles away, sight unseen, then wonder why they have so many problems.

As natural gas became more popular, the exhaust was ran into these old chimneys.

Remember the legislation that has come such Tenant Protection and the rest of the bill in Illinois as an example which says the Mortgagee must show that all alternatives to foreclosure have been exhausted.