If you play your cards right, this could be a great way to build equity and add value to the property.

I think it is fair to say that there is somewhat of a tradeoff between markets that provide positive cash flow on day one and relatively high appreciation-based markets.

I highly recommend you play with that tool to start getting an understanding of what things you can do to positively affect your credit! 

Quote from @Rereloluwa Fatunmbi: Quote from @V.G Jason: You literally jumped in the fray of an oversaturated play in a really suspect area of Houston. 

To ty Coos county and Bend together brought back memories of a trip I took in the late 90s when Bandon Dunes first opened.Friend of mine in Santa Rosa has a home at Cross Water and a hanger there at the airport and of course a nice turbine twin to put in it.We departed SR for Bandon  played golf that day spent the night at  Bandon dunes  got up early  played 18 holes at Bandon again jumped into his bird flew over to Sunriver got there by 12  teed off at cross water at about 1pm and played 18 holes there.. so may one of the few 4 somes to ever play Bandon and Cross water in Sunriver on the same day  LOL..   

In your case, changing the property from a rental to your primary residence constitutes a change in use.The depreciation recapture will be calculated based on the fair market value of the building at the time of conversion, not including the land value.Since you're tearing down the existing structure, the entire amount of depreciation taken over the past two years will likely be recaptured, as the building's value at conversion will effectively be zero.The recaptured amount will be taxed as ordinary income, up to a maximum rate of 25% for residential rental property (Section 1250 property).

They loved it because they got some play money right away and steady income each month without having to deal with toilets and tenants.

Now, in 2024, we're seeing $4,000 per month just on the main unit and $1,800 on the other unit of the duplex.Long story short, it's a long term play.

I’m a real estate investor and the owner of a fairly large property management firm here in Texas.

I find that depending on the market $300-500/mo are fairly normal and if compared to what you would pay with a single family home on some utilities, maintenance, and management, it's a good deal.