The property will be sold upon completion.Rate:  12.05%Term:  13 months interest onlyARV:  $648,000Loan Amount:  $433,000Processing Fees:  $15,361.64 (3 pts plus processing fees)Escrow Charges:  $3,130.90Insurance/taxes:  $1,722.82Construction Holdback:  $498,361Cash to Close:  $84,762.36 In the OP, you said that the loan amount was $346k.

@Jun Lee One pro that I can think of a solo 401K is there is no UBIT taxes when an asset u invested that had leverage sales.

Getting title and getting clean title for properties bought at tax auctions are two different things. 

Quote from @Francisco Milan: Your tax bill ?

Closing costs, including recording fees, transfer taxes and HOA transfer fees, if any5. 

Include an exit strategy, tax planning, and insurance to protect both parties.

The state’s housing is also ranked as the fourth most affordable in the country.Alabama currently has the second-lowest average property tax rate in the country at 0.4%, which helps investors keep more of the money they earn.

And still defers all the tax and depreciation recapture in the 1031 exchange.

@Breeya Johnson the entire market currently is in a cooling cycle with price declines and inflated expenses like property taxes and insurance.

Not only will you lose your property tax exemption, but you may need to secure LTR tenants.