Optimism results in financial losses.Subtract Every CostYou must deduct all expenses from the sale price to determine the maximum offer price, including:RenovationProject managementClosing costsHolding costs (taxes, insurance, utilities, HOA)Selling costs (commissions, fees)Profit (this is not optional)A surprise cost bufferA time buffer for unexpected delaysIf you miss something, you will lose a lot of money.

The majority of our building component is the club house and underground utilities so we're able to maximize 15 year components.  

At this present time I don’t recall seeing any people bragging about their  ( STR) Short term rentals that have to utilize the services of a property manager. 

Most people skip this thinking it's expensive but tenants love not splitting utilities.

.- "They are too noisy"- "They are parking in "my spot" (when there is no assigned parking, just entitlement)- "They smoke outside too close to my open window"This happens less as the number of units increases.2) Water is a common utility owner has to absorb cost of, but there may also only be one boiler/furnace and/or shared electrical panels - so, more costs for owner to absorb.3) Parking can be an issue4) Mailboxes can also be a problemAlso, multi-family units typically take longer to rent, per graph below:

And utilize DSCR mortgage financing. 

Option 1, they pay an early termination fee (one month plus the deposit assuming there's no real damages) and they walk away clean, we take utilities back over, a clean break.

Retirees downsizing - many are moving to FL specifically looking for smaller, manageable spaces with lower utility costs.3.

But at the same time, I end up interacting with the business side quite a bit, especially when it comes to deal flow, systems, and communication between different roles.I’m also brushing against the passive side indirectly — mostly through investors who operate in both lanes and want cleaner systems around how opportunities are brought to them.So I’m definitely strongest in active, but with overlap into the first two categories because of how intertwined everything becomes when you’re working deals consistently.Great breakdown — curious to see where everyone else falls on this spectrum.

When we had our meeting with some of the big developers here in Columbus, they mentioned that they are unable to do deal unless they have tax abatement or can utilize opportunity zone tax credits.