The MLS price winds up bid up to where it makes sense for the overwhelming majority putting 25% down in a Fannie loan, that's where our Econ 101 "supply and demand curves" meet in the middle on the fictional perfectly efficient open market that they pretend exists in Econ 101 (these podcast guests probably paid the MLS price for their first few properties, but haven't paid the MLS price for the last bunch of properties).All things in life have self-selection bias. :)

The growth of ISU hasn't been as significant as what was projected, so there has been a bunch of new housing, which I think has been more challenging to fill due to the lack of growth and increased housing (i.e. more supply but less demand).I did recently talk to someone who works as a property manager in Ames and she said that they were raising rent costs again, but that isn't convincing enough for me.I live in Ames and work in Ames but am investing in the Des Moines area just because I think you can have a greater profit margin than what you can find in Ames.Real estate investors continue to buy in Ames and they will make money doing so, but I just think there is more money to be made in the DSM area unless you are wanting to buy at a much larger scale (like apartment complexes).Let me know if I can help in any way!

Also a GC should have great connections at supply warehouses and have more pull when there's issues with a product. 

Secondly, I doubt any GC would want to work in this fashion, too many problems can occur not to mention the GC's risk factor as his/her license is on the line.

I'm familiar with all the basic deductions i.e. cleaning fees, utilities, supplies, mortgage interest, insurance etc. so curious about the less clear ones:- Home office deduction: I manage the STRs from my home residence, if I'm reporting the income on Schedule E can I still take a home office deduction (rent/utilities)?

It's also a liberal market which makes it good for appreciation because they always constrict building which constricts supply long term and raises rents and property values.

Which of these towns have better supply and quality of tenants?  

Here are some ways that you might want to think about that risk1) What does supply/demand look like in your area and how long do you think it would take to get a market rate tenant2) Set expectations with the existing tenants that you would prefer them to stay and therefore you will be implementing a small increase but that they will still be below market and will therefore save $x per year over a comparable rental3) highlight any additional value that you will bring in return for the higher rent e.g. more responsive management, rehabs, additional amenities etc.4) Assess whether the tenant is one that you are interested in keeping e.g. do they pay their rent on time and do they look after the unitGood luck!

Also many buyers will not go through with you, if you can not control or really what that means [trust and add value] from your buyer they are just going to use their cousin VInny or what not.Sellers are always in short supply so if you can figure out a good way to get sellers listings consistently you will do well.

I've kept track of all time by day and property for the year as well as all receipts for repairs, supplies, and work done, so we are not as much passive, as active, even though we use a property management company for rent collection and first line of calls.