Interest income is interest income, unless you decided to roll some of the current cash into a self directed IRA at which point your interest income would be deferred for a later time and allow your funds to grow tax free.

Figured there would be a few data points left out of the equation' that I would need to circle back with :) .There are additional units not rented at this time which could be rented to increase the income.

DSCR loans won't use your income to underwrite the loan.

Yes @Akash Sky that is considered ordinary income

Further context, I have zero debt, high 700s credit score, one other investment property here locally. 175k in cash available, looking to do DSCR loans or cash and then refinance.Peoria, Illinois- Great need for lower income housing, market appears to have many options.Lawton, Oklahoma- Looking only at extremely cheap properties, as it seems it’s not terribly hard to find renters.

.- Low Interest Rates: Competitive interest rates make property ownership accessible, especially for those with stable income like service members.- Military Presence: With U.S. military bases across Germany, local banks are accustomed to assisting service members with financing.How to Qualify1.

If you can’t do a 1031 to a non-income tax state, figure out a year when you will have lower income and tax rates ar as low as possible.

Taking action is what separates investors from dreamers.Todd, you nailed it—real estate is a long-term game, and selling a business that’s already producing income is a big move.

For example, I see newer investors attempting wholesaling or bird-dogging for other investors to generate additional income to invest.

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.