I do have some investment experience and I'm currently managing 1 property, all the numbers are great and there's a good amount of cash flow and long term growth so I'm not a total green horn. 

In all seriousness, if this is the start of a budding STR business for you, your parents should understand. 

Here's the deal:Purchase Price (PP): $95kRenovation Budget (via HML): $60kTotal All-In Cost: $155kARV (After Repair Value): Around $200kRefinance (via DSCR Loan): 7% interest, 30-year fixedRefinance Details:After the refi, I will pay back the Hard Money Loan (HML) at 11.95% with 3 points:HML: $60,000Interest/fees: $3,585Other costs: $1,800Total to pay back HML: $65,385After the refi, I will have $84,615 left in cash.Cash Flow & Expenses:Expected Rent Income: $1,700/monthProperty Management (PM): $126/monthInsurance: $100/monthTaxes: $126/monthMortgage: $1,043.75/monthTotal Expenses: $1,395.75/monthSo my monthly cash flow is about:$1,700 - $1,395.75 = $304.25/month in cash flow.Return on Investment:Cash Invested After Refi: About $18,385 (after paying off HML and closing costs).Annual Cash Flow: $304.25 * 12 = $3,651Cash-on-Cash Return (CoC): $3,651 / $18,385 = 19.8%I didn’t account for maintenance costs since it’s a full gut rehab, and everything is brand new.

Actually checked 3 houses and they were all disasters. 

This all depends on the property.

Off-market deals help you avoid this by giving you the opportunity to negotiate directly with the seller and secure a better price.Underestimating Repair Costs – Make sure you account for all repairs and renovations when purchasing a property.

I would get with the city asap and find out all the details on this.It could be possible that if the LLC changes hands that it loses it's exemption.

I picked up the BRRRR method book and feeling confident in setting it all up (we did a similar process for our Airbnbs).  

@Olecia Williams I am local here in Florida and help clients all the time purchase second homes that they short term rent with 10% down with zero issues.

@Bruce Woodruff   wow that sloped ceiling description rules out almost all the sloped ceiling rooms I have been in.