You should speak with a CPA and a tax attorney to be safe.Regarding your thoughts about 1/3 equal splits - sounds good until you check out the cost of getting a DSR rehab loan or borrowing hard money.

@Chris Kay to learn to properly DIY manage you have two basic options:1) Trial & fire on your own, hopefully not making a major mistake that costs you tens of thousands of dollars.- Once your time is more impotant to you then the cost of a PMC, you can hire one.2) Hire a PMC to guide you on your first rental and learn from their expertise.- You can buy additional properties and DIY manage those, perhaps leaning on the PMC for any issues you're not sure how to handle on your own.Good luck:)

There are a million low cost or free options out there.

Financial Highlights•Acquisition Price: $72,000•Renovation Costs: $35,600•Total Investment: $107,600•Funds: raised from personal savings and private lenderHow did you add value to the deal?

@Isadore Nelson that is all it cost

Investing locally in the Bay Area will come with higher acquisition costs, but appreciation can still build wealth long term, so don't be weary if you're property doesn't cash flow right now the bat.

That $250K cost needs to come from somewhere.

What leads to the highest repair cost? 

Both on one loan may save you a bit up front in costs, but it'll make it more complicated if you ever decide to keep one and sell one.

We buy mostly almost move-in ready, less work and a larger basis for cost-seg.