Ensure compliance with 45-day identification and 180-day closing rules.This post does not create a CPA-Client relationship.

Over time, as you build more properties, the cash flow and equity from each one can be used to fund future investments, creating a cycle of growth.Why BRRRR Works: The BenefitsThe BRRRR strategy offers several benefits that make it appealing to investors:Leverage Your Capital: The ability to pull out equity through refinancing means you don’t have to wait years to accumulate wealth.

I plan to continue to purchase buy & hold properties but would like to invest in multifamily properties to create cash flow.

I don't think I could justify custom cabinets for a $1500 rental. 

I am a satisfied customer.

Which is very complex and costly and likely warrants professional help.Now, if it's just you and your spouse, then your 2024 tax preparation is likely relatively straightforward:- you will create a Schedule C on your personal tax return- you will NOT report any costs of purchasing the property or its rehab, not in 2024- you will report your business overhead expenses such as marketing, driving, technology etc- you will end up with a business schedule showing zero income and some expenses - not breaking the rules but potentially raising an audit flagCan you do it yourself?

However, California treats rental income as passive regardless of REP status, so these benefits won’t apply at the state level.This post does not create a CPA-Client relationship.

What I wrote above does not create an attorney/client relationship between us.

Adding to Trevor's step 5 -  create a detailed SOW. 

This will create your new basis.From an operational perspective, you might want to touch up a few things on the place to make it more rentable.