However, these costs can often be added to your property's basis, which helps reduce capital gains tax when you sell the home.Once the property is officially a short-term rental, subsequent repairs and maintenance would likely qualify as deductible expenses. 

I'm curious how you ended up handling it?

Always have an exit strategy in case refinancing takes longer than expected, such as optimizing rents or reducing expenses.

We handled everything in-house from the point that we acquired the properties to listing them on our website and pushing them out thru an internal sales force that did outbound calls to investors.

A cash purchase, added to my portfolio, reduces my levergage ratio on my real estate portfolio, but does not bring it to zero of course as I am not paying off existing low rate mortgages on rentals. 

This change has helped generate more bookings, but it comes with a trade-off: guests booking single nights on Fridays or Saturdays might prevent full weekend bookings.Lowered PricesWe’re utilizing PriceLabs for dynamic pricing and have reduced our rates to stay competitive during the off-season.Listed on Furnished FinderWe created a Furnished Finder account to target mid-term stays, which I hoped would solve our slow-season problem.

I love Cross Country specifically because they can service their own loans meaning that they handle all the construction draws and payment processing.Plus, I like Homestyle over 203k because they don't have as strict of guidelines on what has to be renovated.

I invest out of state in Pittsburgh from DC and self-manage everything, but it's taken me years to establish the right contacts, develop seamless processes etc. that allow me to handle everything remotely with confidence.

There are property management companies that handle everything—from guest check-ins to maintenance—so you don’t have to worry about being hands-on.

A 1031 also adds complexity and timing pressure.Watch Out For:Opportunity Cost: Renovations tie up cash that could go toward other investments or reserves.MTR/STR Management: These models require more time and effort than LTR, even without a property manager.Market Risks: WA properties may appreciate slower than expected, and higher costs could reduce your margins.If cash flow is your priority, option 1 (renovate and STR/MTR) likely offers the highest upside.