Factor in carrying costs (utilities, taxes, insurance).2.

An LLC is potentially one minor factor that might contribute to the evidence that you are running your rental activity as a trade or business, but it's definitely not required that you have an LLC to qualify.

If your goal is passive income, it's not going to be in New Jersey when you factor in cost to purchase, management costs, and rent to price ratio, but what you can get is steady appreciation.

But they still suffer from interest rates and market sentiment factors.

Keep in mind, while the projected performance is very important it should not be the single driving factor in your decision.

Of course there are other factors such as fees, but so far I have found those to be relatively minimal.

Then compare that to what you’d net by listing it as-is—factoring in the time you save and the carrying costs you avoid by not renovating.It might seem straightforward, but once you dive into the numbers, the difference between renovating versus selling as-is can be surprising.

This concerns me about the potential to maintain a solid tenant base and would likely cause a higher vacancy factor.

Although the percentage of the increase is large, the determinative factors are whether the resulting rent is so great as to shock the conscience of a reasonable person and was effected for the purpose of compelling the tenant to vacate."

@John BerjIf cash flow is a top priority, factor in HOA fees (common with new builds) and confirm rent comps to ensure the numbers work.