@Les Jean-Pierre Had Section 8 tenants and got a bunch of energy upgrades through a state program.

During that time, you will have no vacancies and little maintenance costs, and the resident will provide the $$$ to reduce your principal. 

Now that it’s a rental, you can deduct mortgage interest, property taxes, insurance, repairs, maintenance, and depreciation to reduce taxable income, but depreciation will be recaptured at up to 25% if you sell.

So if the homeowner saves energy or goes on a long vacation, they still get charged 100%.

Rod is an ACTIVE mentor, which takes a lot of time/energy. 

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.

We are definitely likely going to see a drop in interest rates, which means you could always refinance in the future too to further reduce your monthly payments. 

Usually- it reduces their fear of a the unknown.

This would reduce your concentration without having to worry about doing a 1031 (or multiple) transactions given the value.

But it takes time and energy from internally motivated people who take responsiblity.