If you house hacki then flip, how do you figure your holding cost
Here's the situation: we're looking to buy a primary residence that needs major work. We'll be living in it while repairing it and plan to stay for 2-5 years. This will essentially be a long term flip with the advantage of avoiding capital gains because we're going to hold it for 2+ years at least. Normally, we figure the mortgage into our holding costs when we're running our numbers on a flip. But would you do so in this case? Since it's going to be our home for a while, we'd be paying the mortgage as a standard living expense anyway, regardless of whether or not we were flipping. Suggestions?