Basically what you do is go with a traditional lease and then add an addendum with rules, etc.

People who did it wrong and weren't able to execute.If you do it right, it’s arguably the best market to invest.Purchase: $80k-$130kRent: $1100-$1500 (no rent control in MI)1% rule: .9%-1.4% rule dealsCoc ROI: 4-12%Total ROI: 20-40%Cash flow: $50-$250/door (after all expenses and budgeting for maint, capex, vacancy)Appreciation: 3-10%+ (has been double digit for a decade)Location: C+, B-These numbers are based on the “sweet spot” in Metro Detroit.

STRs can be great, but they’re not as passive as folks think, and local rules keep changing.

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Ultimately, I am certain this is a case by case issue based on each jurisdiction and their various rules.

Nothing crazy different here:-- Know the Airbnb laws/HOA rules around STRs.

This applies for each month that the HAP becomes more than 2 calendar months old.Unfortunately, many landlords leave these funds unclaimed, either because they’re unaware of the rule or too overwhelmed with other property management tasks.

People who did it wrong and weren't able to execute.If you do it right, it’s arguably the best market to invest.Purchase: $80k-$130kRent: $1100-$1500 (no rent control in MI)1% rule: .9%-1.4% rule dealsCoc ROI: 4-12%Total ROI: 20-40%Cash flow: $50-$250/door (after all expenses and budgeting for maint, capex, vacancy)Appreciation: 3-10%+ (has been double digit for a decade)Location: C+, B-These numbers are based on the “sweet spot” in Metro Detroit.

Other states may allow it, but require you to follow strict rules, including disclosing your role clearly to both the seller and the end buyer.

The SBA recently changed rules around these programs.