Occasionally I'll let them draw early if they're tight, but only for work that's been completed. 

Folks, April of 2058 is not all that far away.Of course this would never happen, people have to pay taxes and eat food and buy diapers and indulge in the occasional lap dance, among other things.

On the flip side larger units of properties generally have professional managers in place with excellent books and then occasionally you will have a few sellers that self-manage and keep poor books or a bad PM company.I have seen tally's of 25% to 60% in ranges on the 50% average used.I tell sellers when I list there property that they need to think about the buyer.Even though you manage the property and save 10% on property management doesn't mean the buyers will not use one.Example: Property at 100,000 NOI is 1,000,000 at a 10 CAP but put in management instead of self managing to reduce by 10k in costs now the property to achieve the same 10 cap is at 900k sales price.I find this happens often in the 10 unit to 30 unit apartment complex range where a seller can manage themselves.Anything above that in unit size usually a PM company is in place.So I tell sellers we have to price according to what the costs will be to the majority of buyers looking to purchase your property.As other investors have told me.Corporations say the seller does a great job with costs but our managing structure is different so we can't offer that price.Others say they can't manage the property as well as the seller can so have to offer based on more conservative numbers to give themselves a buffer.So as others I use the 50% equation as a quick reference and nothing more.When I get into cost analysis I ask myself if the seller has been cutting out trash pick ups,termite maintenance plans,and defering maintenance and improvements to boost cash flow on paper.

Of course we have to keep in mind that there will only be 8 home games (plus pre season, playoffs and the occasional Super Bowl) each year.

Occasionally I see what might be good deals, even on the MLS, but they'd require varying amounts of work. 

Thats why I suggested a few rentals and a flip, you get a steady flow from rents without having to jump from one house to the next but you still boost your monthly amounts with the occasional flip.

We try to make it something that we happen to overhear them talking about or notice they are lacking.Currently, out of 15 tenants, 7 are "All Stars", 7 pay consistently within the late fee grace period (mostly on the 2nd or 3rd, occasionally on the 4th or 5th) and one struggles to pay on time, often incurring late fees.

When mixing this don't make a mess, follow the instructions, and add a little dawn dish soap (helps penetrate waxy leaf coatings).I've personally had ryegrass sprouting with an 80 percent germination rate after 7 days.  

An occasional foreclosure or short sale in the area will not affect much but a wave of them will.

Imagine there could be the occasional need for rehab/flip $ but that's not a main goal...ummm, have you ever dealt w/ contractors in FL???