It makes sense to invest in vacation rental for the benefits of rental income, appreciation, and a place to vacation (I mean, "check on the condition of your investment). but the initial capital and monthly outlay is intimidating to think about if vacationer's disposable income dries up. 

Agree with above - And yes, replace the carpet.You will also have to closely inspect the baseboards in the area as well as lower levels of the dry wall.Also. if you have any floor vents, I'd bet a nickle they are trashed as well. 

Master Lease purchase price: $500,000Monthly rental fee: $1,200Sublease fee to dry cleaner: $4,350Net profit: $3,150My Intended % of down payment for purchase: 15-20% Loan amount: $400,000-$425,000QuestionsAre there Any lenders for this type of product?

Market rents are $2300/mo and post construction appraisal on a dry lot is $375k-$415k.

The rehab deals on the MLS are drying up in this area.

Like the dry cleaners.

In sept he stopped taking in new inevestments which meant all his reserves would have dried up.

There was a lot of wood rot in and outside of the home.

So anytime any work had to be done to plumping, run phone/cable lines etc. the ceiling had to be damaged to gain access to the mechanical's of the house.Also, it was carpeted and about once a year in the spring moisture would seep into the basement and I would have to be diligent to get it dried up or otherwise it would cause mildew/moisture issues.

They train them up and know the majority will squeeze out one to three deals from family and friends before it dries up.