Was wondering other stuff like property management expense like getting a handyman to fix something or roof changes etc, assuming they are a bit more.

Plus, with the seller covering a large portion of the buy-down cost, it reduces your immediate expense, making this a very attractive option.If you're uncertain about how long you’ll hold the property or foresee needing to refinance soon, keeping the 7.75% rate might make more sense, as you'll avoid the upfront cost entirely.Would love to know more about your timeline and goals for this property to give more tailored advice!

At this stage, you want to ensure that the property is cash-flow positive, meaning the rent covers expenses and leaves a profit.4.

We have enough reserves to do either option.I am leaning towards the more expensive option 1.

Great news is when you get a deal there the spread is usually solid, bad news is many of the traditional marketing tactics don't work very well (at least in NYC where you cant cold call, PPC & PPL is really expensive and I don't know anyone who does well with direct mail).

However, the exact treatment may depend on your accounting method (cash vs. accrual basis), but most individual taxpayers use the cash method, meaning they typically report expenses when paid.

The "personal liability only insurance" is quite expensive at ~1000/year, while the renter's insurance (HO4) have 300k liability for less than 200/year. 

It allows a substantial portion of the asset's cost to be deducted in the first year of service.In 2023, the bonus depreciation rate is 80%.In 2024, it decreases to 60%.In 2025, the rate further reduces to 40%.COST SEGREGATION:Cost segregation involves dividing a property into its individual components for tax purposes.Some parts age faster, like carpets or paint.Your CPA can use this info to more accurately depreciate elements of your property leading to potential tax savings.BASIS:Your basis is the initial price that you paid for your property, including any expenses or improvements.Knowing your basis is crucial for tax purposes, as it's used to evaluate depreciation & determine the capital gains or losses if/when your property sells.LAND VALUE:This is how much your land is worth without any buildings or improvements.Land doesn't get old like buildings, so you can't depreciate it.

People could be paying into these wildly expensive policies and then never get any of the necessary funds once a disaster does hit. 

Selling to a friend who sells to you again would not be an arms length transaction because you have a personal relationship with them and also you would pay closing costs twice to make this happen which is expensive. 3.