Failing to budget correctly for repairs or not accounting for unexpected expenses can cause you to go over budget.

One card you should never use as it is only for emergencies that arise that were unexpected from the flip.You have three days to open as many cards as you want and it will hit your credit score only once.I also learned this from a real estate seminar I attended.

Back when a similar regulation was introduced in another city I worked in, I remember a client who nearly had a deal derailed because of unexpected delays.

How did the properties you purchased turn out, and were there any unexpected issues like liens or repairs?

Section 179 of the Internal Revenue Code allows businesses to deduct the full purchase price of qualifying equipment and software up to an annual limit.In 2024, for example, taxpayers can expense up to $1,220,000 of qualified assets.This election can apply to many types of tangible personal property, such as machinery, equipment, and off-the-shelf software, which are used predominantly in your business.Limits on Section 179 ExpensingAs attractive as Section 179 may seem, there are limits.For tax year 2024, the maximum investment limit is set at $3,050,000.If your business places more than this amount in service, the amount you can expense is reduced dollar-for-dollar over this threshold.In addition to the dollar and investment limits, the amount of your Section 179 deduction cannot exceed your taxable business income for the year.This means that even if your business invests heavily in qualified property, the deduction could be limited by the business’s profitability.Also, not all property qualifies for Section 179.Real property, like buildings and structural components, generally does not qualify unless it is "qualified improvement property."

@Joe S.I would say BP does a good job as well as its membersFor example when peerstreet went under people were on BP blasting them because “they did not know” they invested in unsecured debt because they noted they invested in secured loansBut if you read the literature it was clear the investors were unsecured even though the company invested in secured loans (which this structure is not uncommon) - they were called out for this.There are components related to communication that cannot be verified unless posted but most documents and property transfers (like the one I assume is referenced in the start of this post) cannot be disputed.

That's the key component that is usually missing when I hear other entrepreneurs/investors say they don't like QBO.Something else to keep in mind is your entity structure and how your entities file tax returns.

The cash flow you earn from rentals will likely be best spent on maintenance, unexpected expenses, and reinvesting in future opportunities.

I just got off a call yesterday with a investor group with a bunch of blue island buildings,  from there experience tenants have been pretty good but the buildings are older and a lot of unexpected problems have arisen so I would say make sure to have a good inspector and some reserves incase work is needed and its a good area to cash flow.

Failing to budget correctly for repairs or not accounting for unexpected expenses can cause you to go over budget.