Feel free to use this template:RE: RenewalDear Tenant:With the increased cost of taxes, insurance, maintenance, and other incidentals we are required to increase your monthly rent.

Some people will say, "Take out a quality Insurance Policy and you will be protected."

They don't all offer the same servicers (default management, document services, tracking of taxes and insurance, escrows, etc.), but I am with you that communication and competency are key.

I’m considering even taking the risk of investing out of state in markets with lower property taxes and insurance costs than Florida to increase cash flow.

To thrive in real estate investing, you must maintain a firm grip on your finances.

The most likely options are exchanging:Life insurance for life insuranceLife insurance for endowmentLife insurance for non-qualified annuityPersonally, I would first determine what type of exchange you want to do. 

Actually the IRS does not tell us what we can invest in, only what is disallowed (life insurance contracts and collectibles).Allowable investments for SDIRA investing include the following:Residential real estate, including: apartments, single family homes, and duplexesCommercial real estate Undeveloped or raw landREITs (Real Estate Investment Trusts)Real estate notes (mortgages and deeds of trusts)Promissory notes Private limited partnerships, limited liability companies, and C corporationsTax lien certificatesOil and gas investmentsPrivate stock offerings, private placementsJudgments/structured settlementsGold bullion Factoring investments

Yes you have insurance, but it may not cover everything.

Invest with syndicators who have a narrow niche and proven track record.For example, if an operator has done 5 or 6 workforce housing value add deals in Dallas, and they are offering a similar deal now, that would be encouraging.if however, their current deal was a brand new luxury Class A building in Charlotte and this was their first acquisition in Charlotte and their first class A deal, as an LP I would pass.Find operators who do one thing and kill it in that space.Find operators who own or have gone full cycle with similar assets in the same market.For example, my firm, Spark Investment Group has a very narrow niche - sub 100 unit MF or BTR in Greenville SC.

Also, we'll need to know what your other expenses will be (taxes, insurance, etc.).