Lewisville (suburb of Dallas) just banned any new STRs for one year while the city studies its effects.

The key is getting a good RE consultant that specializes in no-cost consulting, engineering-based cost segregation estimates, and reasonable study costs who works with your CPA/tax professional.

I studied at Kansas University (being a real Jayhawk!)

What I often see being a mistake is people ordering a cost segregation study before speaking with their accountant to see if it would benefit them on their return.What a cost segregation study does is analyze a property further to identify assets that be classified with a shorter asset life than 27.5 or 39 years.The issue when getting an 'estimate' from a cost segregation study company is that they are not accountants(more specifically not your accountant).

I would want to see as many years budgets as the seller has available and a copy of the most recent reserve study.

From your post, it sounds as if you've exhausted your cash putting 25% on ready-made single-family rental properties.My suggestion to you would be to study the BRRRR method and link up with investors and wholesalers in your area.

I'm still very new to all these concepts I need to study a lot to understand well how to be financially creative in the future for my deals.

Study the market.

I will share my "Most Expensive Lesson" in the comments.To kick things off, here are ten examples of expensive lessons or mistakes in real estate investing:Underestimated Repairs: The classic pitfall where the cost of repairs and renovations far exceeds initial estimates, impacting the overall budget and profitability.Tax Liens: Failing to account for or being unaware of existing tax liens on a property can result in unexpected financial burdens.Contractor Liens: Not settling payments or disputes with contractors can lead to liens against your property, complicating sales or refinancing.HOA Fines: Overlooking or violating Homeowners Association (HOA) rules can lead to significant fines and headaches.Bad Loan Products: Opting for loan products without fully understanding their terms can lead to unfavorable financial conditions, such as higher interest rates or unfavorable repayment terms.Ignoring Zoning Laws: Investing in a property without a clear understanding of local zoning laws may restrict its use, affecting your investment strategy.Overpaying for a Property: Lack of research or getting caught in a bidding war can result in paying much more than the property's worth.Neglecting Due Diligence: Skipping thorough inspections and background checks can uncover unpleasant surprises after the purchase is finalized.Poor Tenant Screening: Failing to properly screen tenants can lead to unpaid rent, property damage, and costly evictions.Underestimating Market Risk: Not considering market fluctuations can lead to investments that don't pay off as expected, especially in volatile or declining markets.We've all been there in one way or another, facing setbacks that seemed daunting at the time.

What’s the expected cost for a cost segregation study for a $500,000 rental property?