I think it really depends on if you are able to increase that cap rate with value-adds post acquisition.

It's crucial to evaluate how the deal performs with the new mortgage:Updated Financials After Refinancing: Market Value: $459,000 Mortgage Amount (80% LTV): $367,200 Equity: $91,800 Interest Rate: 5% (30-Year Amortization) Assuming after 12months the rate will drop to 5%Monthly Expenses: Mortgage Payment (5% Interest): $1,971 (Now you are paying interest and principals) Property Tax: $260 (assuming has been increased with a 4% from last year) Utilities: $361 Insurance: $104 (+4% Adjustment) Vacancy: $166 (now after 12 months we can assume we have some vacancy at 5% factor on annual rent) Repairs & Maintenance: $166 (now after 12 months we can assume we have repairs at 5% factor on annual rent) Total Monthly Expenses: $3,028Rent Income after 12 months assuming annual rent increase at 5% : $3,323Cash Flow: $295$ per month 😊Long-Term Gains: $5,418 Principal Paydown year 2 (this will increase each as you pay off your mortgage $36,720 Property Appreciation (assuming 8% per year) $3,540 Cash Flow (this will increase as rents rise)Total Annual Return on Investment: $45,678 with just $ $22,789 remaining in the deal.

The use of online classes has been increasing every year and are projected to continue to increase.

- However, I’ve seen general Fannie Mae guidelines that suggest if substantial improvements have significantly increased the property value, you might be able to request PMI removal earlier, provided the LTV is 80% or below.

I really appreciate the suggestion to engage local RE investment groups with this question which I plan to do.

Leveraging equity to purchase a short-term rental (STR) in Tampa Bay can diversify your portfolio and potentially generate strong cash flow, but it also increases your financial risk.

There is increasing supply as a result of increasing demand but the real question you're asking is whether it's going to lead to oversupply and lower rents or not.

Now 2 days before my closing date and getting all clear on the closing, they have increased the rate by 2.2%.

Connecting with local expertsThis forum is a fantastic place to start, and you’re already doing the right thing by engaging here.

I also assume a 3-4% yearly rent increase, which naturally increases the vacancy and repair amounts over time.