While Limited Lodging is a permissible accessory use to Household Living, it is not permissible unless (i) the unit is the primary tenant's principal residence and (ii) the tenant lives in the unit for more than 6 months.

I can tell you right now, between using hard money debt as you plan and the inefficiencies of managing the types of markets I suspect you are chasing, you aren't paying down principal either as you will be continually refinancing.

Even if you are cashflow neutral, at 4% appreciation the property is gaining over $20,000 in equity a year, plus the principal paydown which I imagine would be close to another $10k.

My investment strategy revolves around viewing cash flow as a tool to build reserves for both short and long-term capital expenditures.One key aspect of wealth accumulation in real estate, as you rightly mentioned, is the gradual reduction of your principal mortgage balance by others and the accrual of forced equity and natural equity through market appreciation.I operate Elevation Appraisal in the valley and serve as an agent with Windermere Bozeman.

Promissory Note: - [ ] Principal Amount - [ ] Date - [ ] Payments Schedule - [ ] Interest Rate - [ ] Prepayment Terms - [ ] Default Consequences3.

They continue to pay off the loan, so the principal part of the payment remains on the same trajectory.

So, now you are up $0.75 overall.I understand of course there is the principal of the power of leverage, paying back with future money/rent, and being able to scale multiple properties that are amortizing/appreciating, etc.Otherwise, fundamentally my thought process makes sense, right? 

NOI is a before-tax figure, appearing on a property's income and cash flow statement, that excludes principal and interest payments on loans, capital expenditures, depreciation, and amortization.Maybe just ignore advice from people that don’t have access to Google.

These loans allow borrowers to pay only the interest on the loan for a set period, usually the first few years, before transitioning to paying both principal and interest.

You may wish to evaluate the following factors and take the following actions:FHA loans are normally intended for owner-occupied residences, with the stipulation that the borrower would occupy the property as their principal place of abode.