Even if they institute their new 1.2%/yr funder's fee as filed with the SEC this month, the max that would generate is another $600k. (1.2% of $50mil)Assuming the average GF loan size is $150k, the most the company could offer as a Tier II would be about 333 loans/year or 27 loans/month. ($50mil / $150k) GF currently is offering around 20 loans/month so they can certainly reach their legal max in short order.

The Cash Shiller index is averaged over 20 cities, SF might be the outliner for the time being.

We have average RE tax increases of 8-10% per year and there is no way to offset that with increase in rents.

It's customary in our industry to accept rent in advance for only one month at a time.

This can be a touchy subject here in Hawaii...most folks rely on the hotel industry for employment...VRs can/do take away revenue from hotels. 

The average rent cost on the block averages between $400-$500 per room.

@Todd Dexheimer What if you used an industry standard for expenses, but when looking at their financials instead of, say, 40%, expenses were 45%, 50% or even 60% of the gross income?

The main thing is whether the locations and times are convenient.Just for planning purposes, the average time from shiny new license to your fist check is about 90 days.  

What you need to do to become successful in either industry is search, scour & hunt for people who want to sell their home.

Hey Michael, I have been in the water and sewer industry since I was 16 working for my uncle, I might be able to help.