Property owners get an annual update on their SEV & Taxable Values with their city property tax bill, typically sent in December.So now, the city assessor tracks the SEV, but homeowners are taxed based upon the capped Taxable Value.

----------------------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

What you want to avoid is a lengthy contract with extension options.

Since the payment was deposited into your account on 1/6/2025, it would typically be considered income for 2025, even though the tenant paid it on 12/31/2024.However, if you use cash-basis accounting (which most landlords do), the key factor is when you physically receive the money, not when it was sent or owed.

Additionally, regarding the legal structure, an LLC seems to be the most suitable option for our situation.

Those horror stories are typically from amateur landlords that don't know how to screen tenants.

Must be able to handle all typical investor transactions (assignments, wraps, lease/options, etc.).

One long-shot option is to offer a lease at something like $1,300. 

I’m not sure a bank would be your best option but it can’t hurt to try.

I know of a lender that offers a 0% down, owner-occupant conventional loan that is a fantastic option for househacking.