At a 7% annual return, this could grow to $908K after 10 years, providing immediate liquidity and diversification.Alternatively, holding the property could yield $825K net equity after taxes in 10 years, assuming a $900K sale, with the potential to defer taxes via a 1031 exchange if reinvested into another property.

I recommend you do this annually to adjust for utility increases and other variables.

There are also additional costs of operating and maintaining an LLC, like separate bank accounts, annual report filings, tax filings, etc.2.

Cash on cash describes how much cash a rental property is putting in your pocket on an annual basis divided by the cash you took out of your pocket to buy it. 

@Kristi Wolfe I would be glad to connect with you and talk through possibilities for helping your son purchase a property in Tucson!

Things have to get much worse for insurance rates to continue to grow at 10-15% annually in perpetuity.  

Each night of the week has a different price based on market trends for short term stays, not annual leases. 

I also just got this email about a renewal (only a partial quote) :Effective January 2, 2025, annual subscriptions will be priced at $179, and $129 for add-on units.

A $500k property should produce gross annual income of +/- $50K but can generate as much as $65-70k with the right location and amenities like a hot tub.

An annual business tax as a hotel of $50 and collection and remittance of transient occupancy tax of 12% from renters is required of all short-term vacation rental operators.