First Rental Property?

[Cody Jackman]

Hello,

First time posting here. I have been a member for years, and always been drawn to the lucrative seasonal rental property business.  I secured my first property in 2018, a single family home with a detached garage where I live now.  The two-bay garage has an upstairs loft apartment.  The building was erected 1970, and after some unsavory tenants left the place in shambles I was able to buy the property for cheap. I renovated the home, but now am left with a garage that needs renovation as well.  I live in a great location for outdoor recreation where every year vacationers come to enjoy the hiking, biking, skiing, snowmobiling and other opportunities the area has to offer.  I see many properties on Air Bnb in the area consistently booked year round.  Analyzing the property using the BiggerPockets Four Square Method, I calculated anywhere from a 7%-36% cash on cash return on the property.  The only issue is, I do not have the cash right now to rehab the property.  So the question becomes, would it be better to continue to save my money until I have enough cash to put into the project or take out a loan to rehab?  It would take me years to save up the cash, and those years I could be getting a return on the property.  Does anyone have experience with this , or suggestions? Happy to share more information if asked.  Thanks for reading.