Quote from @Paul Azad Azad: Great webinar/format, please keep it up.If Monday is GP and operating the property, who is RSN?

You're talking about programs generally run by the government as the operator of last resort because no one else can make enough money to make it make sense.

When I run the numbers based on these rents, the property operates at a negative cash flow.If I increase the studio's rent to $1,400 per month, the property becomes cash-flow positive.

Short-term rentals are becoming oversaturated in certain markets plus anti-STR legislation is resulting in some of those properties also converting to long-term rentals.You already have the operations experience by self-managing.

If the property breaks even, or operates in the red currently, it will only operate deeper in the negative (unless you find a strong ROI like creating more bedrooms, convert a non living space to living space, etc) with another loan. 

Rent Per Unit $‎650 $‎700 Other Income $‎750 $‎800 Less Vacancy $‎(3,120) $‎(3,360) Operating Expenses $‎18,790 $‎19,809 Repairs $‎4,000 $‎4,200 Capital Expenses $‎2,000 $‎2,100 Landscaping $‎1,500 $‎1,575 Utilities Vacant Units $‎288 $‎302 Property Taxes $‎6,000 $‎6,300 Insurance $‎1,500 $‎1,575 Management $‎3,002 $‎3,232 Other $‎500 $‎525 Net Operating Income $‎41,241 $‎44,831 Financing Expenses $‎22,224 $‎22,224 Cashflow $‎19,017 $‎22,607 Down Payment $‎21,000 $‎21,000 Cash on Cash Return 90.55% 107.65% Keep in mind, this return doesn't even include the principle pay down on the loans.

Servicers have merged and operate on thin margins.Refinancing with a credit union or bank doesn't solve the problem.

I have managed STRs for 10 years in Los Angeles, so I understand the business and operations.

These operators totally bungled the deal and operation but still made money due to the market.2.

I support (and use) a utility-cost cap amendment in our leases to ward off those who might want to mine cryptocurrency or operate an indoor greenhouse, but the vast majority of MTR have utilities included and the vast majority of travelers expect that they are.