Again it is individual preference i prefer built in equity or force apprreciation depending on the market where I am in.wish you luckOriginally posted by @Chinmay J.

It’s not his job to force you to buy a property.

I mean he could cause heat to stop working and other habitability issues that will force me to fix and cost me.

If the rehab raises rent by $100/month, (1) you would recoup the investment from the extra cash flow in about four years ($4800) and (2) if comparable properties in the area also have updated kitchens, you have likely forced appreciation for your property, creating instant equity that hopefully exceeds the $4500 in cost.  

But forcing anything else beyond that will only lead to resentment and frustration.

On the plus side, the forced rental has been good to us and got us to get more serious about REI.

If you have been in this business for nearly 2 Decades I would love to hear your thoughts and comparison between the last sellers market in 2006 that exploded badly and 2018 Sellers market.I see lots of differences, Financing and New Construction being the most obvious.But as I sit back and remember the crash that happened post 2006 I am left wonder what could cause a lot of forced sellers in the current market and I am just not seeing much.I just don't see the same setup in 2018 as we had in 2006 and I might be blind hence I wanted to document my thoughts and see what others thoughtZ

For starters, it forces the discipline of factoring in the PM cost of around 10% into your analysis of numbers.

I’m liable to repay the loan in full and I’ll also get all the forced appreciation I’m putting in with sweat equity.

It may not pay you (I have an ADU so mine does) but it keeps you from having to pay rent and insulates you from LL risk like rising rents or them selling and forcing you to move.Even I have a Heloc though.