Damage could have been disastrous very quickly....Thanks folks!

You can also check the operating expense ratio (OPEX/effective gross income) in comparison to the comps to see whats going on.Good Luck!

Just be wary in NJ about taxes and the effect of a non-paying tenant.

@Russell BrazilI would argue that the yield if an asset has everything to do it.Why invest in one 6% yield asset when you might be able to invest in two or three 12% yield assets in another market.The point was about judging the effectiveness of the BRRRR method in a hot market.

The tenant tried to file a complaint with me at the housing authority and I was able to show documentation that it was his washing machine that had caused the damage.

I learned a LOT about water damage, and mold remediation.

I learned a LOT about water damage, and mold remediation.

however it is rare you get a fire after all the homes we have had I think we have had maybe 3.. when I had my big rental portfolio I was just about to go to self insurance.. at 200 to 300 homes in the low value asset areas self insurance for fire becomes very cost effective when its private equity and no bank.  

The checkbook IRA or Solo 401(k) are more nimble and cost effective.

My question is, can I demand a security deposit from them to protect myself in case they damage the apt. when they move out or should I adjust the rent accordingly because of no security?