You are effectively turning the unit every year or two, even when the tenant stays in place. 

I work mostly with bank & credit unions lenders, who tend to be much more conservative, and most of them use a 35% operating expense margin.Also, the operating expense is calculated off the EGI (Effective Gross Income), which is the Gross Rent x the Occupancy Rate (i.e.

If your credit score is high enough, you shouldn't have any issues. 

@Devon Shives,Your situation has a lot of potential, but here’s a thought: A cash-out refi could work if you’re confident you can use the $30-35k effectively for your next property, but the higher rate and payment might indeed limit your borrowing power for another mortgage.Consider these alternatives:1.

If you do the math, since your borrower is paying interest on interest, it raises your effective interest rate by about a point.

There's nothing that prompts inaction like uncertainty (in fact, hinting at demanding a stable 11 cap, one might argue, is a form of effective inaction, since we know how hard that is to find). - Substitute goods.

Highly recommend starting close to you so you can get eyes on the property if you do decide to purchase a true rental. 

If you’re below $275K, focus on high-impact upgrades like improving curb appeal (landscaping, fresh paint), refreshing the kitchen and bathrooms (new hardware, lighting), or adding energy-efficient features (smart thermostats, LED lighting).

Hello All!
I’m an ex realtor who also has some experience working for a private equity group for a short time before I got a really good gig in a completely unrelated industry that will allow me to have options when ...

But I see people turning long term or highly appreciated primaries in to rentals.