Housing is still affordable compared to other markets, which keeps renters and investors coming.

Reno Scenerio Off Market Purchase Price - $185k ARV = $315-335kReno - $55-65kHolding - $10kClosing both ends - $25k= $335 , $315-$285 =$30-50k gain  As-IS Scenario Purchase - $185kSale Price on MLS :$225- $235kClosing both ends - $20kHolding - $4k= $235 - $209 =$16-$26k gainIn both scenerios I’ll be 1031ing it into a new investment.

So, the actual increase to market rent will be much lower.

@Audrey Sommer I prefer investing in my local market (Snohomish County).

With market values reaching approximately $3.95 million, that translates to a 115% ROI.

Bham is a great market.

Depends on the market!

These will be markets where housing is affordable for both residents and owners.

Found on Zillow during a competitive time in the market.

The sales comparison approach is typically done for residential real estate and will be less appropriate and come in under value because there are no good comps, and even an appraisal using the income approach (unless the appraiser is trained to do more complex commercial appraisals) is probably not going to be the most accurate either because they typically use market cap rates and in this case you don’t have good comparable income properties to find the market cap for the analysis.