Quote from @Steve Wortman: Currently the owner operator of a motel.

@Ella Marie, I can't speak on behalf of your market, but in my respective market, competition is tough, and the successful fix-and-flip vendors are often full-time operating businesses.

Anything you do remote will come at a cost of operational inefficiencies and a higher cost of doing business.

I asked Pace Morby and Jamil Damji this question and legally, yes you have to operate as a foreign entity in every state you're doing business in.

Many of our borrowers/clients have one LLC that owns the building and another than own the operating business.

However, they approach financial health from different angles.The 50% Rule is a quick estimate that suggests operating expenses (excluding mortgage principal and interest) will roughly equal 50% of the property's gross income.The DSCR is a more precise calculation (Net Operating Income / Total Debt Service) that determines if a property generates enough income to cover its debt obligations.Deal example:- Class C middle class neighborhood- 4bd / 2ba single family house- ARV: 190k- Purchase: 105k- Rehab: 35k- Market rent: $1,400-1,525- Section 8: $1,475- Property manager: 10%- Taxes: 125 month- Insurance $1250 yr- HOA: $55 month- purchased and rehabbed with all cash.

Private equity firms seem to favor larger operations with scalable systems, while smaller mom-and-pop firms are often acquired by local players or regional operators looking to expand their footprint.If you’re looking for actionable intel, reaching out to brokers specializing in the sale of PM firms could provide useful leads.

I’m an operator here in the greater Houston area.

I had one short term rental that was granted a permit earlier this year and I have been operating it for months now as an STR.

I understand that they operate in real estate under one of a few exemptions from registering as a security with the SEC.