I’m also curious about the pros and cons of managing short-term rentals versus long-term tenants, especially for clients who are new to real estate.I’d love to hear from those of you who’ve been down this path before.

It is in the area that has decent short-term rental rates based on airdna and what property managers are seeing.How much more in maintenance have you all noticed on a short-term rental versus a long-term rental?

It's stopping me from scaling to a much larger portfolio leveraged versus a smaller paid off portfolio.  

The bank will make you leave 25% equity in the property - but you also still want the property to at least cash flow some - so be careful how much equity you pull out / new debt you take on.I would do a cost benefit analysis of what your actual gain is in cash-flow on buying a new property with a (currently) higher interest rate (if financing), versus just holding on to the current appreciated property and enjoying that cash flow.All the best!

I have been going back and forth between an appreciation focused investment versus a cash flow focused investment.

You can then measure the cash flow impact versus the potential cash you would obtain upon a sale.

Recapture typically happens only when you sell the property.If you use the property partly for personal use and partly as a rental in a given year, depreciation and other expenses must be prorated based on the number of days it was rented versus personal useBased on the current tax laws and regulations, once you've taken bonus depreciation on an asset, you cannot "capture" additional bonus depreciation on that same asset in future years, even if the rates increase.In the 2024 tax year, the rate for bonus depreciation is 60%.

Kind of like asking if people like cars pro/con; then finding out later you're a car salesperson; versus Truck/Motorcyle/Mass transit.Read back through my comment and yours, we said the same thing. 

I have a client in KC that has acquired 45 SFRs and is just now looking to buy MF properties.Two of the biggest things to consider when buying a commercial property (5+) versus a 1-4 MF is cost (e.g., the appraisal for 5+ is at least $2k-$3k) and the financing structure by lenders because Fannie/Freddie don't generally buy loans for commercial properties.So, for you personally, the biggest driver for the type of your next property is probably going to be the amount of a down payment/equity you can put in the property.

Weigh the long-term benefits of the low mortgage rate you have versus selling and getting $500k from a sale exempt from capital gains tax.