That's with no appreciation or increase in rent, not the long term trends in the NY metro area.

So, those new carpets that are being depreciated over five years get a big lump of depreciation at three years when they're totally trashed.So, those new carpets increase your basis in the year you put them in.

I also believe it would take longer to sell than a similar product in the middle of the community so that would increase your costs even more.

The big issue you'll run into is that, if your end-buyer is getting a loan, the lender will do an appraisal, and the appraiser will want to see that improvements were made to justify the increase in price at resale.

What do you think will happen globally as our population increases and billions begin to finally have spending money for assets?

Get them early enough, motivated enough (property priced low enough) and comfortable enough to deal with you and you have successfully increased your value as a wholesaler who with serious buyers want to do business.

I think psychologically it'd be better to increase rents rather than make tenants pay water, even if it comes out to the same dollar amount.Good call on the craigslist post.

Also it's possible to take advantage of opportunities where you could increase a cap rate by buying a vacant building for example and fixing up the units.

I won't lie, for my insurance related business it doesn't hurt that Springfield is an 8 hour drive in all directions from half the US population.

Good increase in equity , good cash flow, minimal vacancy factor and management requirements.