FHA 203(k) loans are a great way to get into a property, add value, and set yourself up for strong equity when you eventually rent it out.Biggest things to watch out for:1.Contractors & Timeline – The loan requires HUD-approved contractors, and the rehab process can take longer than expected.

Can try to reposition to Class B, but neighborhood may impede these efforts.Vacancy Est: Historically 10%, but 15-20% should be used to also cover tenant nonpayment, eviction costs & damages.Tenant Pool: majority will have FICO scores of 560-620 (approaching 22% probability of default), many blemishes, but should have no evictions in last 2 years.

Have you found that secondary markets in your area are holding up better than the big cities?

Would you rather set it and forget it and not need to refi again or rather take advantage of low/no closing costs on this loan and plan to be more aggressive on your rate at the time of your refi?

Alright, now that the house is locked up and the paperwork is out of the way, it’s time to get messy.

Most maintenance won't pop up in the inspection report, its more apt to pop up after having someone live in the property for the first month.    

opens up a lot more markets and opportunities. you can build a 400 square foot unit or 4 of them or 3 of them or any size unit you want on any lot. 

You didn't mention the higher Florida insurance costs. 

We just fixed up the house and have it on zillow with several applications in 24 hours. 

This will open up your options a lot more.