So I'm okay not making the big bucks STR style, but I also don't want to do it at a monthly loss.

There are so many ways to make a mistake during the process and so many ways to leave money you’re owed on the table, especially with loss of income claims.

@Jacqueline LeeIt’s real but the scales are not equal and heavily weighted to those with experience and their own moneySo if you have no experience and no money - your odds are low as why would someone lend you money?

I am being told that the reason they charge that much is because the rich people building vacation homes out there will pay any amount and don't care about the immediate loss of equity and they have more business than they can handle.

If there are excess losses, Citizens can surcharge all policyholders to help pay for the claims.If you have a long term rental, it is a viable and affordable option, but it should never be construed as the best option. 

We found in our research that even at the increased price-point, a mountain view is worth its weight in gold.

I do fortunately have room to absorb that loss, but with increased taxes, insurance, and maintenance/repairs starting to get reeeeally thin on the margins 😬

The primary reason is because the property is vacant and a number of independent contractors are in and out of the property thus increasing the chance of a claim or loss.

You may not realize the full weight of it, but this is what decades of experience boil down to.

If you have a partnership structure or some other facts and circumstances around the loan that indicate you are extending it in the capacity of a trade or business, it will be considered ordinary income.Keep in mind that the tax rates will not differ between ordinary and passive income unless you sell the loan for a gain/loss.