A 1031 also adds complexity and timing pressure.Watch Out For:Opportunity Cost: Renovations tie up cash that could go toward other investments or reserves.MTR/STR Management: These models require more time and effort than LTR, even without a property manager.Market Risks: WA properties may appreciate slower than expected, and higher costs could reduce your margins.If cash flow is your priority, option 1 (renovate and STR/MTR) likely offers the highest upside.

Less good contractors will make assumptions and bid the project there, then when you change or add things, the cost will be higher than it would have been if you knew it at the beginning.

With inventory slightly decreasing in November, do you anticipate increased competition heading into the new year, or are higher mortgage rates keeping activity balanced?

Why would the government waste our tax dollars paying higher rents than the market?

Small improvements or updates can justify slightly higher rents too.

I don't think it's expected nor do I think it will get you extra business or higher rated reviews.

Given your scenario, you might recover more capital with DSCR due to the higher rental income, but as other lenders have advised, your max will be 75-80 LTV.Hope this helps!

look man, my area is higher than miami but I can convert a house to DSCR 2.x after I build 2 bathrooms.

However, if you have a solid mulit family unit, you can have higher overall rent due to your unit count.

Not crazy, but if that mortgage becomes $650K, $700K, $800K, you begin to feel a little apprehensive and need more interest in return for incrementally higher risk.