I believe it tends to give me a slightly lower return, because the sponsor is going to be more careful, and if there is a severe downturn will prevent me from taking catastrophic losses.

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Hey bigger pockets!

You indicated a move out in January could cause “4-5 month’s vacancy”... if that is even remotely accurate you’ve got bigger problems than month to month vs term lease.

Hello all,My name is Dan and I have been an avid fan of bigger pockets for quite some time now but have always been hesitant on posting anything due to the lack of real estate knowledge.

Now tenanted and has some operating history to show.Basically there should be a 'story' behind why there is limited info being provided and you need to find out what it is.Regardless, limited information means more guess work on your part which means more risk and so a lower price to mitigate and leave a bigger buffer.

I would recommend pulling up Schedule E and fill out a profit and loss for your property, including depreciation (3.636% for a full year of depreciation for the fair market value allocated to the building).

Of coarse eventually there will be a “ correction” and The best thing to do is preparation to mitigate loss .dont be too over leveraged and be sure to have reserves .

Other items to consider:- Income or loss from operations in an OZ is taxed normally- An OZ is a lower income census tract designated by each states Governor.

1. If I am using a hard money lender I will be using "All Cash" but the Calc Does not offer an option for points if you pay cash, ONLY if you are financing.2. If you have other income that is not Monthly income there ...