My clients normally will ask for the max security deposit if there is marginal credit, but they want to take a chance on the tenant. 

A bill that would have increased property taxes 400% on all STRs failed by a wide margin on Tuesday. 

(He came to our annual RETA Gathering and he serves a lot of RETA members.)The ROA fees being charged though are ridiculous and gross margins mean nothing and net leaves little for any such return!

Conversely, the same two-bedroom, one-bath unit could fetch $1600-1700 under a traditional LTR arrangement without furnishing or utilities.Considering the added expenses, the MTR/STR model doesn't seem worth it for me, given the marginal increase in revenue.

They have a great established cash flow, thanks to the city’s rental needs and can go after flipping the houses with the best profit margin.

I'm aware that approach may go against the very idea of flipping (e.g. 70% rule), but at this stage I prefer to be as cautious as possible, even if my margins might be smaller.

Might get a deal done the first year but it will be in no man's land in an unknown state with no appreciation, no boots on the ground and marginal actual returns.

Given current US real estate rental profitability and interest rate, it makes sense to take as much debt as possible while keeping a margin of safety.

Personally I think the margins are too thin on arbitrage to make sense, but its an inexpensive way to get experience fast!

The rising costs can erode profit margins, make renovations more expensive, and increase holding costs.