Rufo  Also consider the fact that when you switch from STR to LTR or the other way around, you will need your CPA/tax professional to do the IRS' 3115 change of accounting form to go from 39-year depreciation for STR to 27.5-year depreciation for a LTR.

It's a way to generate more money upfront for them, on top of all of the other fees, and the overall change in payment is usually pretty negligible.

Spam and spammers evolve - their techniques evolve, the posters change, the things that are being spammed change.

Plus, how are all these changes going to fit with the existing rules and regs?

I doubt the seller’s improvement changed the taxes.

Updated flooring, changed cabinet hardware, updated thermostat.

Laws also change often so you have to stay up on those changes.

No other action is required at this time.Please note this will not be an immediate change.

Also, have you made any significant alterations to the property or if it were put on the market today, would it be indistinguishable from a standard 4-bedoom house (are there any extra walls for the SRO, constructed locks/barriers etc.)If its a standard SFR and the leases are very short term - there is a path that you could refinance this with a DSCR as basically a Short Term Rental and then potentially change strategic course back to SRO if needed at a later date

Insurance changes the numbers enough that it's less interesting and I'm worried about resale.