What’s your biggest headache when analyzing rental deals?

Question

Hey everyone,

I’ve been talking to a few people about how they run the numbers on rental properties, and it seems like everyone has their own frustrations.

Curious — what’s the most annoying or time-consuming part for you when analyzing deals?

• The spreadsheets getting messy?
• Forgetting key assumptions?
• The whole process just taking forever?
• Something else?

Would genuinely like to hear what sucks the most.

Jaron Walling · Answer

In my opinion the hardest part about analyzing deals is estimating a renovation budget. The second hardest part is finding the right contractors to support you. The third would be negotiating aggressively enough to create a deal. Fourth could be finding good locations.

Without a crystal ball some of these issues are art and less science. You're looking at pictures and videos and making assumptions that a contractor may or may not agree with. Translating materials + labor into a workable renovation budget takes practice.

What’s your biggest headache when analyzing rental deals?

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