Properties in or near these cultural zones can be prime for short-term rentals or Airbnb.3.

If it's worth that much, taking a HELOC on it should not be an issue at all long-term or short-term as long as the bank will do it.

@Stephen FlemingFrom my experience working with over 400 investors, your strategy of leveraging a low mortgage rate, tapping into home equity, and diversifying with a short-term rental (STR) in Northern Michigan is well thought out.

From what I understand, a 1031 exchange doesnt apply in this case, and so I will have to pay short term capital gains on the appreciation ?

Investment Info:Small multi-family (2-4 units) buy & hold investment.

Hi @Rachelle BertumenI live and work in the Truckee/Lake Tahoe area and personally own two long-term multifamily units in Reno.

I think there's a path to refinance that would flip me into positive cash flow, but I'm coming up short on ideas. 

Many banks wont touch deals that are sub 90% occupancy, so you could negotiate short term seller financing to help give you runway to make the building bankable for a refinance while you reposition it.

Historically, real estate will appreciate over the long term.  

I have some rental property back in Atlanta, and have been wanting to get into short-term rentals through Airbnb for years.