I’d actually argue to your point that even if you didn’t invest the extra cashflow, you’d have more money in your pocket every month to cover unexpected repairs instead of tying up that extra cashflow in the principal payment on the property.

There are many risks & variables involved with acquiring a distressed property like dealing with contractors, finding unexpected rehab, longer than expected rehab times that extend hard money costs/hold expenses, miscalculating ARV, etc. 

Original terms were as follows:Term: 5/1 ARMLTV: 75%- Cash OutRate: 7.75% (720 + Fico & Assuming 5+ properties)Origination: 2%Pre-pay: 3%-2%-1%It's not necessarily that the changed seemed better or worse, just more that it was an unexpected change.

A couple of years later, we had an unexpected family and I decided I was done living in hotels; fired most of my customers and started buying old, unloved buildings here in the Maritimes.    

When it comes time to replace them, unexpectedly for newbie, they get a deer in the headlights look.  

But I'm not dismissing this as some kind of witch hunt.When any business creates a disruption, of any size, it can also create unexpected avenues for fraud within that new space.

Those plan will inevitably change because unexpected things happen and believe it or not even your priorities may shift over time. 

I recently and unexpectedly lost my corporate job, two and a half months before my 50th birthday.

If this would of been done the first time around I’d have not felt such a gut punch when I had a list of unexpected repairs the first six months. 

We are probably at or near the top of the cycle in most areas, and when the unexpected happens (vacancy for a longer period or major repairs), you'll feel the pinch.