It's a game changer once you have a few employees and operate that many so everyone stays on the same page.

@Coty LeBlanc I originally used it as a set it and forget it tool and it was better than not having I suppose, but then I really dug into training and learning and I saw 50% increase in one property and 20% in the other.

Without an operating document, it's unlikely they could sue you unless it's in the city rules that all homes are responsible.

I’d search out an established local operator and pay them to operate it.

The next question is whether the property has the zoning to legally operate as a 2 or 3 unit building. 

What strategies or systems have helped you grow from your first project to a scalable operation while managing risks, timelines, and financing?

I have zero stress having the systems in place with the proper people in place to manage my day to day operations.

As mentioned in the podcast, you can carry forward the paper loss, which could offset future rental income or other income once the property is fully operational as a rental.To maximize your benefit, doing the cost segregation study now while bonus depreciation is still at 100% would allow you to accelerate depreciation and take advantage of the full deduction in the year the property is placed in service as a rental.

I ran my own proforma and used an 8% vacancy rate and a 35% operating expense margin, which are the %s that most banks my clients work with use to underwrite their DSCR loans.

Most residential real estate developers have a certain operating expense margin they are budgeting for in order to make sure they are hitting their return requirements.