One of my most profitable STRs ventures is not in a vacation market but it is a unique experience that is within an hour of a major metro hub.

None of the major institutions have come close really.

: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, 1-3 years for positive cashflow, 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, immediate cashflow and at the lower end of relative rent & value appreciation.

You MUST understand this as the suburbs are usually much nicer than the city.All of these challenges are why we have a map of Metro Detroit on our website with the cities in Macomb, Oakland and Wayne Counties listed, as well as 183 Neighborhoods in Detroit.The majority of the 48235 zip code is Class C, the question is, do you understand what that means?

@Derek Heinz you might be better off finding a major fixer-upper, getting a hard money loan (HML) to acquire it. 

However, in the vast majority of cases they won't even investigate the claims telling the victim to proceed in civil court on their own.

What we run into is even if there are no major repairs for the year; you have a 15% management fee; $500+ in setup an inspection fees annually, and $2500 in make readys with basic repairs you are looking at nearly $4k in annual, basic costs for a unit which brings $6k in gross rent annually. 

You sound very organized for a first-time flipper so it looks like finding that mentor is paying off.

The vast majority of people will not have these accounts, and the % that comes with them.

The NAR settlement was ridiculous and has only forced agents to do more paperwork and disclosures, but the vast majority of us are still working the same way.The law requires the agent to sign an agreement with you.