I have an 8+ac parcel in Dripping Springs, TX (outside of Austin) that has two small STRs built on it. Both units are approximately 400 sqft, "yurt-style" cabins with large decks. We have 2 full years of revenue histo...

Too many are locking up properties at retail prices and tacking on outrageous assignment fees, leaving no room for investors to profit.

At times you can profit $40-50K.

The property manager must make a profit, otherwise there is no incentive to provide the service.

In this market, I would not finance a first time flipper at 75% profit split because the profits and success rate is lower than the last dozen years.  

A 1031 exchange doesn’t apply, but funding through a self-directed IRA can defer taxes, though profits from debt financing may trigger UBIT.To reduce taxes, consider forming an LLC for better expense deductions, offsetting gains with investment losses, or holding the property for 12+ months to qualify for lower long-term capital gains rates.This post does not create a CPA-Client relationship.

This transaction highlights our ability to identify and execute quick, profitable deals with minimal holding time.

The problem is that your debt payments are going to basically wipe out that $400K profit unless there is room to increase revenue or reduce expenses.

Client rents that house and makes 1k monthly profit, plus has a really good paying job.

If you adopt a solo 401k as a Sole Prop you won't have to run payroll and incur payroll taxes and you can still do $23,500 plus 20% of the profit as a profit sharing contribution.