The 50% rule is just a general rule of thumb and you would be much better off breaking down the numbers and calculating mortgage (+insurance and taxes), capex, maintenance, vacancies, utilities, landscaping, property management etc.

Both are in the same condition, with the lots being the same size, similar landscaping, both with a garage, etc.

That is the meaning of an efficient market.The expansion may have reached its end.

You still pay for utilities, consumables, cleaning, landscaping, maintenance, but the co-host will coordinate these activities and manage guest communications. 

The unit itself is very clean (I painted, installed new mini blinds, cleaned up the landscaping, and added some improvements).

The plan is to paint,carpet, improve lighting, landscaping, and possibly replace the sign for starters. 

One of them spends the summer doing landscaping for somebody else, but gives me a hard time when I want him to go mow the rentals. 

Mostly set back issues, property needs to be subdivided and the property has two separate zoning classifications currently.Structure of the deal would be me as boots on the ground running the facility, managing the expansions and marketing to keep people coming in.

HGTV and the glut of inexperienced investors into the marketplace is more of a cause for their expansion than accurate rehab numbers.   

I think one of the FARHA's bought most of the stuff within a block of 2 of 17th st once he knew of the future expansion plans a few years ago -I graduated there in 03 and never thought the neighborhood around there or the development nearby would take place - We've been away for 2 years almost exactly now and sure do miss it.