Regardless, you sort of need to take two steps at once: A) talk with an attorney to understand your options and nuances of those options and B) start having conversations with people you might think would invest with you to understand if there is any real interest, what they are looking for and if you can realistically offer that to them with what you are doing.Once you have that, then you need to understand underwriting with investor capital, proper fees and profit splits, taxes, reporting, etc.

Will make it easier for you to get financing, B.

What’s your plan B if they ban or regulate STRs like they’ve done in other European capitals.

I get frustrated because most people a) don't stick with this and try to learn it... trust me its easier than first year college physics... but it will take you a few times to get it and after networking with real people doing this or b) they say its seems risky and listen to their lazy/ignorant CPA who by the way has been stuck in they same occupation for 20-30 years... why would you want to take financial advice from someone who is not financially free. 

It is very working class so there are a ton of B and C class neighborhoods.

The properties are in solid C class areas that have potential to transition to B.

Let's be clear - if you buy in an A or B neighborhood just about anywhere, your cash flow will be zero or negative.  

Here's how I do my due diligence:1) Portfolio matching: (takes 30 seconds per deal)a) Have an educated opinion on where you think we are in the real estate cycles (financial and physical market cycles)b) Then only then pick the strategies, capital stack, and specialized asset subclasses that make sense for that opinion.

We're making substantial improvements to property #2, so worst case we could always refi to pay off the HELOC.Always run the numbers and have a Plan B, C, and D!

@Terri B.