As someone who just pulled the trigger a few months ago I decided to go with turnkey to mitigate my risk.

Verifying last 2 years of rental history and income extremely important to find the “best of the worst”.Make sure you understand the Class of properties you are looking at and the corresponding results to expect.The City of Detroit has 183 Neighborhoods we’ve analyzed.PM us if you’d like to discuss this logical approach in greater detail!

If there is debt on the property you run into the debt-financed property issue which can cause the rent to be treated as UBIT and be subject to the trust tax rate which increases to 37% extremely fast.

You can transfer the rental to an LLC after the purchase, though this may trigger the due-on-sale clause, so check with your lender.This post does not create a CPA-Client relationship.

I've been looking at single family home prices and rental prices in Austin TX and its suburban areas, and it feels like it's extremely unrealistic to find something that passes the 2% rule.

I understand dead money but with high interest rates and putting minimal money down or re-fying leaving 80% LTV the margins on SFR's is extremely tight. 

We got the entire overage as the payoff on the loan was over $100,000To those reading this who are newer to the space - this is extremely rare and does not happen often and probably for many will never happen.

I would say its extremely important to have a quick (like 60 second elevator pitch) for why you want to enter the business and what returns you are looking to get. 

These days homes can be extremely expensive and I'm not going to spend my hard earned money to settle for a home that has all these funky changes.   

Having family there and a pretty good market, time to pull the trigger.