I'm not sure what the management and maintenance fees you have factored in are.

@Patrick Connell I think it's a combination of several factors leading me to the conclusion I either 1.

It's a factor that plays into my decision making but it's probably fifth on my list.

Some common desirable factors might be:* Proximity to a great school* Beautiful ocean views* Beautiful mountain viewsIn fact the investors' choice of Sokcho to invest is in large part driven by what they see as Sokcho’s inherent desirability as a location (ex: proximity to Mt.

As for solving the confusion factor some mentioned earlier in the thread, I open what my bank refers to as a zero balance checking account.

There are obviously other factors go into determining good investment decisions.

I agree with @Brent Coombs...numbers aren't enticing with vacancy, cap ex, repairs, prop. management factored in.

In many aspects, net worth will not be a concern to a newbie investor, as they acquire more properties it becomes a factor for financing. 

Planning on these factors is critical for your future success in your investments, although it is very hard to predict the changes.

Once the newness of these buildings wears off, they will be on the turn-over treadmill just like their existing properties.Perhaps these landlords are resigned to turnover being an ummutable factor in their business model, where our goal is to reduce it to 5% or less.