We are not real estate professionals.1) How would you handle the classification of the property in the 2023 tax year and would you utilize a STR depreciation strategy?

Since part of your home is a rental, you can deduct a portion of expenses like mortgage interest, property taxes, and utilities.

Utilities cost $150 per month.

I would like to purchase my first property sometime next year, utilizing this year to learn and network as much as I can.

I am interested in utilizing space again for group meetings, workshops, and for clients who may still desire private space.  

Opt 1) utilizing our savings in the brokerage account and emergency fund and pay for it all up front. 

For example, I have a subject property that has 1682 SF on the main floor and 810 SF of finished basement (the majority of which is about 8 feet in height with the exception of some bulkheads to hide the mechanicals) and 271 of semi-finished basement that is a utility room basically (washer/dryer, freezer, hot water heater, furnace, some storage).

Utilities are OFTEN overlooked so reach out to power, telecom, gas (or go all electric), water, and sewer to make sure you understand what it would take to get separately metered services from the primary house.

I’ve been utilizing the BRRR method and have been successful thus far.

Can you share what main use case that you propose to utilize our solutions would be?