Since property tax increases are limited to the lower of inflation or 5% it's possible for the taxes for a long-time owner to be well below what a new buyer would pay since the taxes "uncap" upon sale.

So in this instance you buy off what the market is going to turn into right after you buy the asset and not actuals.You can have actual bills for utilities but the seller might have gotten a special deduction you will not or a special assessment or large increase is coming.

Even here in my state where we get them out fast some counties such as Fulton has limited Marshall staff to serve the evictions which increases another 4 to 6 weeks on getting them out in that county.

@Stephen Doyon:Hi Steven, I would agree with your perspective regarding the population, units available and subsequent deal availability.The original discussion was more about the number of BP members from this area vs other areas.

It has been a while since I read it but here are my takeaways:Invest in assets rather than liabilities:- an asset being anything that can create income/increase in value (ie. a business, a rental property etc.)

. $1,000 / $10,000 = .1 or 10% Cap rate can change from 10% to 20% in the following ways: 20% = $2,000 / $10,000 Increase in Net Operating Income by $1000 20% = $1000 / $5000 Purchase Price is reduced by $5000 20% = $1500 / $7500 Change in NOI and Purchase Price

Certainly there is a long way to go to get to where values were but they are increasing.

If you could increase them to $200, you would double your cash flow.

This does increase your cash flow for that first year but you still want to calculate maintenance costs in from the beginning.We have sold some of our older SFR's here in California and purchased new construction in Texas.

Because it increases your investment returns.