This is primarily why I plan to get a property in Old Town Alexandria whenever I can (THE HOMES HERE ARE EXPENSIVE) currently I do airbnb arbritage here and it does phenomenal, I read through your report which furthered my confidence in this area, and I'm excited to keep holding onto property here.

I'm not factoring in a percent for vacancy, repairs or capital expenses.

Given you are out of state, it would be expensive to fly there. 

The property is old so we are having unforeseen expenses.

This results in additional expenses being incurred by the owners.

Real estate is often full of unexpected and expensive potholes and you don't really sound geared up for that.. 

In this situation, can all the partners claim mortgage payment as expense in their individual taxes (or just the partner who owns the mortgage)?

Wait a couple of years and use your investment knowledge/experience along with your equity to invest in other properties i.e. those located in less expensive markets.All the best!

Think of it this way, for example...If your rent is $2000 but it is vacant for 2 months that means your effective growth income (EGI) for a year lease = $20,0000But if you lower it to $1900 & it sits vacant for only 1 month your EGI for a year lease = $20,900You can play with the rent numbers & how long you think it could remain vacant, but at the end of the day the most expensive route is vacancy.

I’m curious how you all manage these upfront expenses.