For operating risk, a common starting point is three to six months of fixed expenses at the property level—property taxes, insurance, utilities you’re responsible for, management, and a prudent maintenance buffer.

Lastly, are there timing or setup pitfalls we should watch out for with DSTs?

Maintenance & Infrastructure:-What are the most common or costly maintenance issues you've faced (e.g., septic systems, utilities, hookups)?

If you’re buying as a tenants-in-common today with an eye toward converting to condos later, start by thinking like a lender.

Rule #1 is to never be a forced seller, and too much leverage on a deal that goes sideways is probably the most common reason why that happens.I have done a deal where I bought a distressed property that could not qualify for a conventional loan with a HELOC, so it was a 100% financed deal.

Hi everyone, my name is Nathan Ethan.I’m excited to join this community and connect with like minded investors and professionals.My background is in architecture and building design, with a focus on preparing permit-ready plans (floor plans, site plans, MEP coordination, etc.) for residential and small commercial projects in the U.S.Over the past few years, I’ve worked on:Residential additions and remodelsSmall commercial tenant improvementsCoordination with engineers for city approvalsI joined BiggerPockets because I want to:Learn more about real estate investing strategies (especially development and rehabs).Share my knowledge about drawings, permits, and design pitfalls that can save time and money.Build relationships with investors, agents, and contractors where I can add value on the design/permit side.Looking forward to connecting with all of you.

You may also occassionally see 6 or 7 month lease terms with LTR (more common when an annual tenant renews for an additional 6 months, for example).I've never heard of a 2-5 year lease term when referring to MTR.

So in my case, the down payment didn’t sit as equity until after the loan was finalized and the funding came through.Hope that helps clear things up, Everyone’s deal structure can vary, but getting the financing secured first seems to be the common approach.

Common fees that could be in the contract: - Collected late fees - shared 50/50 with manager - Lease renewal fees  - If allowable by law, your manager negotiates renewals at a 1-1.5% of the lease value. - Mileage - Some PM's like charging mileage associated with the building. - Tech Fees - Usually $3-$5/unit a month - Printing and Postage - Only as needed. 

Term Length: Shorter-term notes (12–24 months) are the most common, especially for flips or value-add projects.