While the borrowing costs are higher, I’m exploring strategies where the returns could offset this.

But it is my opinion you should try Airbnb, VRBO, booking.com and FlipKey and give it a chance to see if it is adding business.

Hi,Just watched the latest BP podcast about cost segs and it got me thinking....What happens after depreciation runs out on your property? 

Especially for the cost.

So for the first property which will cost over $1 mil to construct, there will be stacked loans, essentially $280K will come from loan assistance program,( the name is not correct but the same idea).

For these, costs tend to double across the board, especially for older buildings.

Most likely your insurance deductible will be more than that and an attorney will definitely cost you more than that.

You have to put 5% down vs 3.5% down, rates are usually higher, but if you have strong credit, your PMI cost can be cheaper than that of FHA loans. 

Also factor in if the rents jumped a lot and if that would lead to a vacancy, which will cost you more in the short term. 

I feel like there's still people trying to make BRRRR deals work close to the city and the truth is it's nearly impossible given prices, rates, and the cost of construction.