When I was analyzing my first few deals, I made a mistake a lot of new investors make:I relied on gut feeling and back-of-the-napkin math.I’d hear things like “this deal cash flows $400/month” and think:“Great, let’s do it!”

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Now one of those owners is listing their home and we have $100k+ of future reservations on the books that would amount to probably around $20,000+ in cancelation penalties.I think Airbnb/VRBO really need to come out with an official and very public policy about how this affects PM's, otherwise it seems like they could be quietly making an entire industry that they rely on (property management) unfeasible, because as managers the properties are under our account, but we don't fully control them.And that's just the fines. 

It’s not impossible, but success in this space usually requires building direct relationships with owners and brokers rather than relying on a traditional wholesaler model.

It would be hard for me to reasonably rely on something that’s probably no more accurate than my magic 8-ball

I've always found the background check services do not do a thorough job so I always overlay that service with my own gumshoe due diligence  (talking directly to immediate supervisors, ensuring the previous "landlord" owns the property, checking social media, etc.).Never rely exclusively on these services. 

While the IRS does not mandate a physical site visit, the IRS cost segregation audit technique guide (ATG) does suggest conducting “field inspections.”It’s important to note that the ATG is not an official IRS document.It serves as a guide and cannot be used, cited, or relied upon as an authoritative source.However, the recommendations in the ATG are worth considering.According to the guide: “A field inspection is recommended to document the physical details of the building, type of construction, materials used for construction, the assets contained in the building, the size and types of building systems, and any land improvements that were included in the purchase of the property and the condition of that property at the time of purchase.”‍So while the IRS does not require a site visit for cost segregation studies, following the guidance from the cost segregation audit technique guide can be beneficial.At RE Cost Seg, we’ve adopted a modern approach that goes beyond these recommendations, utilizing video walkthroughs to provide a thorough, efficient, and documented inspection process.This ensures that every detail is captured, giving our clients confidence in the accuracy and quality of their cost segregation studies from us.

Imagine if credit bureaus could enable collection of information regarding cash for keys agreements You're absolutely right—landlords often rely on eviction records to assess tenant risk, but that only captures part of the picture.

Installing a sprinkler system with a programmable timer and drip irrigation for flower beds ensures that your landscaping stays healthy without relying on tenant upkeep.

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