The problem with capital contributions is that the deduction must be amortized, with varying schedules depending on the classification of the items purchased.

The numbers should work out if I price those items correctly AND not everyone takes advantage of it.

I am military, and from what I’ve read there is an exclusion of capital gains taxes out to 15 yrs vs the normal 5 for military members.However, I only lived at the property for 18 months, not the 2 years required. 

Quote from @Dario De Pasquale: Hi everyone,I am a small STR investor and in the past few years I have been investing in both stocks and real estatewith COC returns of about 20% for the past 3 years.I am considering diversifying my portfolio with LTR and I know that returns there are going to be a lot smaller.So I was curious to know if there was a rough formula that could include mortgage paydown, tax advantages, and estimated appreciationto be able to compare apples with apples.I am only familiar with Cashflow, CoC, Cap Ex, and IRR.Personally I look beyond those items when I invest in real estate.

Water bills are up 50% to 100%, electric bills are up 33% and gas bills are up 30%, and of course tax bills are up and new bills for new items are created. 

You'll need a cleaner who is willing to do some extras (for extra pay) such as receiving packages for restocking or replacing worn items, or being the local contact person in an emergency. 

The house is fully furnished, but none of our valuable items are in it.

You also learn from every quote you get, and always ask for a breakdown of labor and materials or further itemization (you might not get it every time). 

.- Read and utilize the appendix items from Brandon Turner's Book on Managing Rental Properties.

There are a lot of renters in the area due to the military presence.