If you are in low to mid six figures say $250k a year -   you would need around $2.5  - $3M in cash to make the similar income consistently and without significant risk.Thank you, Chris, for your thoughtful insights—it’s an excellent point to consider the financial and tax implications of leveraging equity.

Renovation of commercial buildings and the challenges they encompass to become profitable assets to hold within portfolio.

Use that as a downpayment on the new larger asset.

However, full site visits, though more expensive, maximize tax savings by capturing every depreciable asset and offer better audit protection.While online studies may be suitable for simpler properties, full site visits are ideal for complex or high-value properties.

STR feels more like a strategy to break even or eek out a meager return on a great asset than a strategy to cashflow.

It does not have to be a one to one exchange or a asset class to asset class.

The high end is the 20 or so co ops on 5th Avenue or Park Ave (one is on East End Avenue) that require liquid assets of $100 million + to gain board approval.  

They do require that person to have no assets, so a house in her name could be problematic.

The financial and social extent of this disaster (initially estimated at $50B) is underestimated by at least 5-10X.

Recapture typically happens only when you sell the property.If you use the property partly for personal use and partly as a rental in a given year, depreciation and other expenses must be prorated based on the number of days it was rented versus personal useBased on the current tax laws and regulations, once you've taken bonus depreciation on an asset, you cannot "capture" additional bonus depreciation on that same asset in future years, even if the rates increase.In the 2024 tax year, the rate for bonus depreciation is 60%.