Cost of value add was $120k, so over $580k of increase above costs.  

FlooringScope of Work:Replace carpet in bedrooms with engineered hardwoodRefinish existing hardwood floors in common areasInstall durable tile in wet areas (bathrooms, laundry room)Estimated Cost: $20,0004.

In several markets I follow there has been a HUGE increase in taxes year over year for the past several years.

People weren't renting properties as quickly, and there was an increase in vacancy.

In general higher cost neighborhoods are safer than lower cost neighborhoods.

I was chatting with some of my lending buddies at big banks and they are all backing away from the CRE space including office because operating costs are increasing more quickly than rents.

You will probably want to pay attention to the income tax basis to any proposed transactions as well as be wary of any transfers that cause a property tax reassessment, depending on whether that amounts to a big increase in taxes or not.Feel free to reach out if you would like referrals in San Diego County in order to work remotely.

Of course there could be some other local businesses that might would want to use or share a couple of the offices that would possibly increase revenue. 

We currently work with many clients who do Cost Segs and using that STR loophole!

This also gives me solid staying power when maintenance costs arise.