It’s worth having a Plan B for unexpected shortfalls if you can, like setting aside reserves.From what I’ve seen, markets like San Diego, Chicago, or Austin also offer creative financing opportunities you can explore further.

On VRBO, when we set up the listing, they didn't have a "loft" option, so I think it's considered office space which led to some confusion or set up as a second living area.

Hey Kent,It sounds like you're making a smart move to consider out-of-state investing, especially with the criteria you've set.

I remember chatting with my friend over coffee in Tempe just a few months back, after he’d gotten tangled in a set of local regs that made his head spin.

The seller was motivated to close fast, allowing us to secure the deal and set the stage for a profitable resale.

Setting a goal doesn’t merely guarantee the outcome by course.

Bonus depreciation is just a special part of the US tax code.It allows you to take accelerated depreciation on portions of your property depending on when an asset is put into service.At the time of this writing, you can write off a huge portion (60% in 2024) of many qualified components that have a useful lifespan of 15 years or less.That means a certain percentage of things like landscaping, sidewalks, latches, appliances, fences, certain flooring, etc is depreciable in year 1.The bonus depreciation rate percentage changes yearly depending on the administration and the tax code.For years 2015 through 2017 first-year depreciation for all the items on a 15-year schedule or less was set to 50%.It was scheduled to go down to 40% in 2018 and 30% in 2019 and then 0% in 2020.But then Trump got elected, and he enacted the Tax Cuts and Jobs Act.That moved the bonus depreciation percentage to 100% from 2017 to 2022.In 2023 it went down to 80% and it’s currently at 60%.Depending on who gets elected again, 100% may be back on the table.Only time will tell.We know that the US government wants to incentivize more development and ownership of RE.They want Americans to continue to build and maintain our physical world.That’s why real estate is one of the most tax-advantaged assets in the US.Depreciation and bonus depreciation for RE are very positive and will likely continue in the years ahead.

For the alley, I'm not sure I'm familiar with that set up, so I don't know that I can really comment on that.

How to set up in 2025 is incredibly difficult.

Do that every 2+ years, sell tax free, repeat, and you can be set for life ("live in flips").