CapEx should be the same since things break at generally the same rate and should be accounted for.The thought is if the LTR/STR comps could cover the PITI+CapEx and still cashflow a little with having so little locked in with good rates for 30 years, the rental rates will still rise each year that will catch up around the time repairs are needed.

In my experience with out of state investing, the Cleveland OH. market was one of being nickel and dimed to death by the city with permits, violations no matter what repairs you do, fees, increasing insurance premiums, with rising costs of city services and finally high turnover (4 tenants in 4 years) <Again this is my experience> Huntsville, Alabama is booming, (west side of Huntsville) but comes at a price with the housing cost. 

He recently sold them in distressed condition for good money but I can't imagine the yearly losses (utilities, rising property taxes, write offs, etc.) he took by being lazy.

When will rising costs slow the demand and to what extent?

The values are definitely rising so cash flow seems to be slimmer but as it grows I think the rents will continue to come up with it. if you ever want to chat more feel free to send me a message! 

To tell us inflation is on the rise and they can't do anything about because they've dealt their only hand by lowering rates to 0. 

I like a good location, and if I can break even or close and I watch that property rise in value over the next 20 years, I'm a pretty happy investor.What do you plan to do with the property short-term while you wait for construction costs to cool off?

Im wondering if i should wait things out and sell at the height of the market, use that money to buy other investments properties when the correction comes (it's also my primary residence so i can keep all my capital gains) OR Should i simply use a "open HELOC" get properties now while this appreciation is rising, primarily in the south east where you can buy multiple properties for a lower cost? 

Hello BPers,Due to recent rise in the market, I wanted to run the potential options to see what other “long buy and hold investors” are doing.

As of April 4, an estimated 2.3 million homeowners were in forbearance, according to the Mortgage Bankers Association.This month the agency warned servicers to take "all necessary steps" to prevent a wave of foreclosures and rattled the mortgage industry Home equity loan delinquencies rose 1.65 percentage points to 5.82% in the fourth quarter of 2020, the first rise since April 2020, the latest American Bankers Association data shows.