Any contact will be highly appreciated.Thanks.

: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+, zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, 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, some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

Rent ready, non value add, mls purchases in San Diego are large negative cash flow if financed at current rate with a high LTV loan.  

Buy something in class B neighborhood or emerging class C neighborhood with higher cash upfront low leverage to ensure you have enough cashflow in worst case scenario and see how it performs.

Some people like messing with all that, but to me the return is pretty low and the headaches high. 

I’ve been chatting with a fund manager about our performing notes.He asked a question I hadn’t heard before...Would we be willing to buy any loans back if the borrower goes 90 days delinquent?

Can you define what High IRR means to you?

hahaha John, I thought I left the debating back in high school

We are thinking a "Project House" in the SE Suburbs/ Exburbs of Charlotte, High Point / Greensboro, or suburb / Exburbs of Raleigh. 

I feel that a new investor doing a BRRRR is too risky and does not have a high success rate.