No. of Recommendations: 0
However, at 30% down and 7% for 30 years, only a 54% occupancy rate is necessary to cover monthly assessment and mortgage payment.

You're forgetting about risk.

Your equity in the property will also vary depending on real estate prices. You should require a risk premium to account for this uncertain return.

Also, even if the long-term average is 54%, the occupancy rate is not guaranteed to be stable. In some years you will need to put cash in. This should also cause you to demand a higher return.

I don't see how this is a good deal for buy-and-hold investors. It seems to be purely speculative.
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