My point is even some experienced operators doing more extensive/sophisticated value adds are struggling in this market. 

There are also additional costs of operating and maintaining an LLC, like separate bank accounts, annual report filings, tax filings, etc.2.

Alt lenders will normally be higher on fees, rate and perhaps leverage at time of close but that's not always indicative of cash required to operate. 

Are you intentionally looking to outsource the management and day to day operations to a management company versus self-managing? 

In fact, there may be other home service opportunities with quicker growth potential worth considering.Additionally, be aware that in Texas you’ll need a broker’s license, not just a real estate license, to operate a property management business.

A good rule of thumb is to keep 3-6 months of operating expenses in your rental account as a cushion.Once you’ve got that covered, you can start investing the excess.

Even if city looses, they'll probably make things difficult on operators with all kinds of rules and regs like many other cities. 

What if I'm the operator of the Fund?

Tip #1 - no such thing as one perfect market There is lots of data on Bigger Pockets and MTR experts that have released rankings of top cities for next year, but remember it's not just about the purchase-- it's also about the operation.

All in, I think a large amount of GC's in the residential world tend to operate in less professional manners, which results in a lot of the problems we have read and seen above.