.: We just this week bought a 6 unit building in a top notch suburban school system for $615,000 with gross rents of $4615, but to make the deal cashflow (barely), had to raise the gross monthly rents to $6570 on 4/1.

All will tell you they do this to build their business.This is what I do when I attend a REI club: Go early.

My idea was I could live there immediately and also do all the minor work that would not require an actual tradesmen, which would allow me to start building equity.

Keep in mind that only the "building basis" can be segregated and will benefit from accelerated depreciation.

This does not align with buying most buildings in cash.Once you progress in your investing efforts you may come across more UHNW individuals, family offices and institutions who would take the lower return for limiting risk (all cash deal).

In my market, which is a fairly economical place to build, I am friends with full time builders that are in their properties about $150k/door for construction level finishes.  

Is this a new build?  

A reserve is unnecessary, but I still keep around $15,000 - $20,000 in my account.The point is, that you should sit down and assess your finances to determine what the worst-case scenario may look like, how much you would need to cover it without impacting your life, and whether you will need to build a reserve.

Avantstay always had an excuse of why that was.My 5 bedroom property that was one block off the beach in florida had literally zero bookings in the month of december 2024.

The options are, demo the lot, split the lot and then sell 2 lots to the builder or build myself.