If we waited 12 months and got up to 80% occupancy would have netted an additional $500,000.  

I should add it will be a short term rental property. 

From a tax standpoint, there are additional disclosures to make when selling a business asset for less than fair market value to a related third party. 

If the water bill is $100 a month, increase the price by 20% (or whatever you decide is fair) to compensate you for the time required to split and bill and to cover additional use when tenants squander the utility.

Additionally, lenders may require a release price (a specific amount to pay down the loan) for each property sold, which can complicate the strategy.It’s worth discussing these details with a trusted lender or mortgage broker to ensure the plan aligns with the loan’s terms.

I was interested in something like owning a rental property as a way to generate some additional income. 

In addition, we pull our own comps and use Lightning Docs to generate our loan documents.

The additions are usually small.Buy focusing on real high value places, you are putting yourself in a narrower guest pool.

Additionally, as stated above again, the projects that I was taking on were purchase well below market value.

I'm currently renovating my rear unit and it has the perfect layout to split into 2 units by adding a wall and an additional front door.