@Brett SiegelWelcome to the community and be ready for a huge amount of information at your finger tips.

that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

Quote from @Gregory Wilson: Speaking of IRS budget to audit returns, what that means is that IRS allocates a certain amount of manpower to do the audits.

They could self manage for several years, using the rental income, until the next phase of their retirement.If they have a decent amount of financial discipline, they may want to get a HELOC now before they build to get the most favorable rate.

That is a big difference in the amount of wear and tear on a property.

I am starting to realize there has been a significant amount of consolidation in the space by private equity and other institutional investors. 3) From research it also seems like getting financing can be difficult without prior experience in the space.

In Texas, the state I mostly work, despire me being in California, sellers in the "B" usually are okay with lower EMD/option amounts, i.e. $200. 

Loan Amount: We specify this as a percent of the purchase price.

However, the benefits of this type of transaction can still be safely realized with proper structuring and a good amount of equity injection.  

RAD buys them back at a “discount” of up to 4%, according to the circular.RAD also caps the amount of stock it will buy back from investors at 10% or less of all the shares it has outstanding, and investors can only sell 25% of their stock at a time, although the company said in another filing that it “routinely” allows investors to cash out all their holdings despite that provision.Or the company could decide not to buy back any stock at all.