To thrive in real estate investing, you must maintain a firm grip on your finances.

Conversely, if new houses are being built frequently, older properties may struggle to maintain their value.Property taxes also play a significant role.

I am working on a product that will help small-medium size landlords launch and maintain Internet presence at a small monthly cost without spending big budget on custom development.It will include: SEO, custom domain, direct syncing with your property management software, syncing with QB. 

Bonus depreciation is just a special part of the US tax code.It allows you to take accelerated depreciation on portions of your property depending on when an asset is put into service.At the time of this writing, you can write off a huge portion (60% in 2024) of many qualified components that have a useful lifespan of 15 years or less.That means a certain percentage of things like landscaping, sidewalks, latches, appliances, fences, certain flooring, etc is depreciable in year 1.The bonus depreciation rate percentage changes yearly depending on the administration and the tax code.For years 2015 through 2017 first-year depreciation for all the items on a 15-year schedule or less was set to 50%.It was scheduled to go down to 40% in 2018 and 30% in 2019 and then 0% in 2020.But then Trump got elected, and he enacted the Tax Cuts and Jobs Act.That moved the bonus depreciation percentage to 100% from 2017 to 2022.In 2023 it went down to 80% and it’s currently at 60%.Depending on who gets elected again, 100% may be back on the table.Only time will tell.We know that the US government wants to incentivize more development and ownership of RE.They want Americans to continue to build and maintain our physical world.That’s why real estate is one of the most tax-advantaged assets in the US.Depreciation and bonus depreciation for RE are very positive and will likely continue in the years ahead.

This allows you to invest in another property while maintaining the asset.Alternatively, a 1031 exchange lets you defer capital gains taxes by reinvesting in higher-yielding or diversified properties. 1031 has limitations.

“Money goes where money is treated best.”Your future ability to attain and maintain financial freedom depends on the city where you invest.Investment TeamAn essential location selection criterion is an experienced local investment team.

Even then you would still need to actually go get the license and maintain it.   

I'd consider doing some kind of cash out refi on the property at a number you're both comfortable pulling out, while still leaving $ for reserves to maintain the STR you currently have.

I intentionally minimize my cash flow (try to maintain high LTV, use accelerated depreciation to our advantage, etc) because it gets taxed annually.  

Work with a CPA for tax strategies, leverage each partner's strengths, and keep communication open while maintaining detailed records and hiring professionals to streamline operations.Good luck!