Hey everyone, looking for some experienced eyes on a deal I’m currently under contract on and would really appreciate feedback or things I should be stress-testing. 

Most landlords do this at every turnover anyway, since you never really know how many copies of a key exist.It’s a tough lesson, but going forward, a written lease and a deposit, even with friends, will save you a lot of stress or prevent you from this kind of headache.

Cheap finishes create more repairs, more downtime, more stress, and more equity loss every single time.

Because of that, I have seen investors spend more time underwriting multiple take-out paths and prioritizing flexibility over headline pricing.It would be interesting to hear how others are stress-testing exits when the asset is operationally improved but the lender’s criteria has not fully caught up yet.

Is the sponsor working with a relationship based lender they have gone round trip with before especially through adversity which is actually a positive or are they relying on expensive debt because the deal or the GP does not qualify which is a major red flagFixed versus adjustable rates and length of runway including term length extension options and whether the deal was stress tested across different rate scenariosReserves and contingent funds and whether they are real and sufficient or merely cosmeticEvaluation of how sources and uses are being allocated and whether the capital stack fully funds the business plan or leaves gaps with a "we will figure it out later mentality"The fund that I invested in with ODC actually has fixed rate debt, so there was not a similar learning point, although the ODC fund is also performing terribly.The reason has more to do with rent growth. 

Prioritize boring cash flow and clean operations over chasing the perfect duplex, because the first small multifamily that runs smooth is what lets you stack reserves and scale without stress.

Here are a few ideas I am considering to decrease my tax liability..I have a CPA that I am meeting next week but they do not specialize in RE. 1.

IRS audits and penalties: Studies that are poorly conducted may be full of unsubstantiated assumptions and errors that can lead to expensive audits and large financial penalties from the IRS.Long-term issues: Dealing with IRS audits and having to correct inaccurate studies can be a drawn-out, stressful and expensive process.

Market value decreased while renovating.

It feels like proof.Real experience.Documented track records.Scar tissue.Clear explanations of what went wrong, not just what went right.In real estate, the conversation is shifting from how well something is marketed to how well it has performed across time, stress, and change.