Hi all. I'm looking to buy a new construction home in CA for $750,000 as an investment property (around 8% interest rate) with 20% down. The rent I can expect is $3200. This would surely put me in negative cash flow o...

How do you all think this will impact prices in the triangle as well as all the new construction surrounding it?

Have you seen a positive impact in your STR besides the initial cost savings? 

How will the northline project impact property prices?

The return percentage is the same, but the impact to lifestyle is, presumably, vastly different.  

Deegan and @Arda Bircan There are technically 7 Tests for Material Participation (but 3 that are most common) -> the individual 500 hour mark, that the activity of the individual is substantially all, and that the individual participates more than 100 hours + no-one else spends more time than them.Litmus Test: Are your hours integral to the operationsThe hours that qualify must be substantially all hours and have a legitimate impact on the rental activities.Activities that generally count: showing the property for rent, taking tenant applications & screening tenants, preparing & negotiating leases, cleaning & preparing the units for rent, repairs, and improvements, managing the construction, purchasing supplies & materials, inspecting the property, responding to tenant complaints & inquiries, collecting & depositing rents, evicting tenants, writing & placing advertisements, and working on your websiteActivities that don't count: education & research, investor-type activities, and travel time..

Even if newer buildings can't price rents as low as yours, they might offer amenities or modern designs that attract potential tenants.Local Economic Factors: Consider local employment rates, major employers relocating, or any changes in the local economy that might impact rental demand.2.

The quality of the people that you allow to live in your property directly impacts your monthly profit and also will arise when the relationship ends. 

Properties in this location may vary in age and upkeep, impacting maintenance costs and potential rental income.

I’m here to help you explore financing options and further analyze the potential impacts on your investment journey.What are your thoughts on leveraging the farm's equity for future investments?