I also put them under additional limitations (e.g. occupancy limit of one person per bedroom) to offset the risk.

Just ensure the interest rate on the HELOC doesn’t eat up too much of those tax savings, and it could be a smart move.

The ones I manage total to 20 bedrooms.These rooms rent for between $125 to $225 per week depending on room size and amenities in the room (beyond basic amenities may include: Desk, Tv, private entry, tenant controlled AC, additional storage).This month after padsplit takes their 14.25% cut of the revenue I am recieving, from the units I own, $15,230 from 3 homes.

A Heloc can never be used as a PITI reserve, or an asset instead its a debt burden and an additional trade line on credit.A Heloc carries a higher risk when it comes to security meaning if you miss a payment even by mistake or for any reason, your scores drop, or your balances start to change your DTI or usage percentage.

In addition, the David Karesh scandal of the 1990's put a bad stain on the city's reputation even though the cult was based 30 minutes outside of Waco in the countryside.

If yours does not have this, you should add it to your agreement.

As an additional note all properties are vacant or significantly vacant.

Otherwise, if you prefer not to go through that process, you'll be hit with a 25% tax on your rental income, which can eat into your profits.I also recommend investing in a couple of cameras and a good smart lock for security and monitoring.

In general ADUs added in single family zoned areas are typically receiving valuations of less than 50% of the hands off cost of an ADU addition.  

NYC and the Bronx and Queens and Brooklyn are generally impossible wholesale areas anyway, but if you add in that you are an out-of-town student alleging to buy people's houses, NYers will eat you alive.