Totally relate to that vacancy rate surprise—been there myself. Had one lender use a super cautious vacancy assumption that almost tanked my numbers. Luckily, we caught it early enough to adjust our projections. It's definitely one of those tricky details you learn to watch closely after a couple deals. Sounds like you're getting the hang of it though...keep at it, it gets smoother.
"Had one lender use a super cautious vacancy assumption that almost tanked my numbers."
Haha, lenders and their ultra-conservative assumptions...been there! Had one lender once who practically assumed my tenants would vanish into thin air overnight—like, come on, they're renters, not magicians. 😂 But seriously, catching those sneaky details early is key. Curious though, anyone else ever successfully pushed back on a lender's vacancy assumptions without them acting like you're asking for their firstborn child?
Honestly, sometimes lenders aren't being overly cautious—they're just reflecting market realities. Had a lender once use a pretty aggressive vacancy assumption that annoyed me at first, but turns out they were spot-on when the local economy shifted unexpectedly. It's annoying for sure, but those conservative assumptions can save your skin if things go sideways... learned that the hard way. I'd rather have realistic numbers upfront than scramble to cover shortfalls later.
Yeah, lenders aren't psychic, but they're usually plugged into market trends better than we give 'em credit for. Best way to keep your sanity? Run your own conservative numbers first—then their assumptions won't feel like a gut punch later... learned that lesson myself, haha.
"Run your own conservative numbers first—then their assumptions won't feel like a gut punch later..."
Totally get where you're coming from, but honestly, sometimes lenders' assumptions can still blindside you even when you've crunched conservative numbers. I've been there—thought I had everything dialed in, then the lender threw in some curveball market adjustments that weren't even on my radar. I'd say it's equally important to build a buffer for those unexpected twists, because no matter how careful you are, surprises still happen... trust me, learned that the hard way too, haha.