It’s got a steady job market, especially with major companies like FedEx, Amazon, and international logistics hubs around here.

So, they just stayed vacant.Income reliability is another major issue.

Now, the contractor is threatening to file a **lien** on the property, which could cause major delays and additional expenses.

: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.

Memphis has a diversified economy, with major players in logistics (FedEx, UPS), healthcare (the Med District), and education (University of Memphis, Rhodes College).

Lastly, majority of of liens are posted in Judgement Lien Documents(JLD).

But when the two elevators went down and we realized we were barely able to make DSCR and weren’t cash flowing enough to cover long term major maintenance and cap ex, we had to pivot into Plan B.in regard to renovating in a partially occupied building, it’s a nightmare.  

Majority of our non payers failed to prove they had any income disruption and are buying new TVs bikes, you name it.

I'm wondering, is this not a major problem for landlords if no further applicants are getting approved for vouchers?

So that's your first major hurdle.