And they are successful at what they do.Some investors prefer the stable returns of A class apartment complexes in A locations, and some people prefer the more management intensive buildings in D locations.In this blog post my intention was to clarify how you can classify an apartment complex and a location.

The low total interest I'm paying each year combined with my curiosity to personally see the interest adjustment play out on a low principle balance changed my thinking.With a small remaining balance, the difference between the two approaches (maximize leverage v minimize debt) is too small to worry about.

If so, wouldn't it be better to use some type of adjusted number as (hopefully) a property does not turn over ever year? 

I just finished negotiating the sale of one of our single family rentals and got me wondering if anyone has anything unusual they like to throw out in a counter offer to "sweeten" the deal without just lowering the price or adjusting closing costs.

It is all depend how labor intensive it is, how hard it is for the electrician to get it there to do the work.

I have been looking at the investment properties on their website and have been using my own adjustments to the numbers provided to see what the monthly cash flow would look like.

Perhaps that will change some day, and I'll want to spend all my efforts hunting for new deals, and will hire out all my work, and that's ok--I'll adjust when the time comes, but for now...I want to get my hands dirty. 

Most of the time attorneys are completely aware of this and make the necessary adjustments on the closing statements.

An appraiser is not generally going to make an adjustment for that duplex down the street that sold.

I target 12-15% cash-on-cash returns for these properties, given the management-intensive nature of Section 8.