Higher ReturnsCo-living generates up to 5X the cash flow of a traditional rental.

Some people love that as the initial numbers look good, but probably over the long term they get tired of the common issues landlords face.It's not that hard typically to find a move in ready property, or even to find one that needs minor repairs, where you can capture the equity yourself vs the person selling it to you. 

The DP is the initial equity you buy. 

I've worked on a couple warehouse deals, not sure if you have a single or multi tenant and what the lease terms or time left on the lease is, but to @Henry Clark s point, that kind of cashflow return for that type of initial investment is awesome. 

With 400K my initial thought is doing a BRRR/Flip that is close enough for you to be hands on.

When including maintenance/cap ex, vacancy, pm, misc he will have little, and possibly negative, cash flow.if he invested almost $250k to add less than $150k of value (assume some of the current value came from the home appreciation), there is no cash flow until the initial negative equity position is recovered.  

This creates a negative initial position.

This negative equity position consumes the initial cash flow to re over the negative equity position.  

Higher ReturnsCo-living generates up to 5X the cash flow of a traditional rental.

@Alina TrigubA Solo 401(k) does not eliminate UBTI generated when the plan engages in a trade or business.