From what I can tell, the Airbnb occupancy rate is so low compared to CA market.

For those using GPTs, I have created a GPT to calculate and explain cash flow, ROI, cap rate, IRR, and cash on cash return.

“Ideally we would like to sign a longer term lease and it would be incredible if we could do it at a reduced rate” please keep in mind this tenant have asked multiple times in the past that want to purchase this property and we have said ‘no’. 

What til rates/prices drop to refi? 

Due to the current high interest rates and prices, many investors are choosing to increase their down payment to ensure a positive cash flow even in the not so "nice" areas and plan to refinance in the future.

My current rent is $2300 at my apartment and I'm assuming the $2300-$2500 liability will be consistent in this property given the Purchase price, interest rate, and including rental income of $2000-$2200 of the other unit.

This could be reduced to 2.9% by removing the 1 point and paying a higher rate. 

I know other hard money lenders who can do them, but you will be paying +6% higher interest rates on the debt than an average hard money deal.If you go forward with a deal, I would get an SFR with a lipstick rehab.

Could you please provide the rental value, market value, renovation cost, loan term, and property tax rate

They are often based on a combination of unleveraged internal rates of return and discounts to replacement cost due to the scarcity of debt.Where cap rates are used, they have seen significant movement off the 2021 lows, with 5-star properties seeing yields expand by 175-200 basis points.