As strange as it might sound to you, many Americans feel safer in Mexico than in the US. 

Not sure what you mean by claiming what I didn't pay, I paid to improve the property before it was rented.Yes, it seems strange to me if someone purchases a home, improves it, then rents it, that they can't claim the value of the improved property for depreciation, as they paid to improve it.

I am looking to do my first BRRRR but I have a strange situation so I am not sure which route to take. 

Dang Illinois and its strange requirements!

If you put money into the property, which you likely would do, you'll ultimately have more than $600 at risk.It seems crazy to put down a $2,500 deposit for a $600 property but their policy is their policy even though it's strange.

It seems strange to me because the driveway on this particular property is single car width with maybe 2 spots around the back of the house.

I have a strange situation and am curious what everyone’s thoughts are.

As strange as it may sound, I'd feel better about an HML that said they do have an app fee and it's non-refundable. 

Even more strange is that I spoke to my tax preparer (they are a larger firm vs mom and pop) and they said they are working on this as their software doesn't allow for them file the 990T online. 

-SourabhSummary: 115 miles from NYC, 1.1 acres, 2 bed 1 bath house with a strange configuration.