- Highly recommend REQUIRING tenants to get Renters Insurance and adding you, as the landlord, as additionally insured.

Then it really grows with each additional one. 

Not only do they not repay funds, they claim we owe them additional funding for renovations that never actually happen. 

ON THE OTHER SIDE, the liability and cost of fencing it in, as I would need to do, is a huge factor... 

It was held by the previous owner for a very long time, so I wouldn't be surprised if some basic facts about the house are incorrect.I was making an offer on a house a couple years ago and discovered that the owner was paying taxes on an additional house that was on the neighbors lot and didn't know it!

Additionally, based on your numbers, it should definitely cash flow. 

Additionally, high-income earners with modified adjusted gross income (MAGI) over $250,000 (married filing jointly) may be subject to the 3.8% Net Investment Income Tax (NIIT).For 2025, bonus depreciation is at 40%, so consider leveraging it for eligible property assets like appliances or fixtures to accelerate deductions.

There should always be timeline contingencies factored into each projects specifics.

Just factor in a little time and effort to get everything squared away, and you should be fine!

We’re fortunate to have an above-average income and live well below our means.This summer, we’ll be moving to Detroit (PCSing in August), and we’ve saved about $120,000 to invest in addition to having funds set aside for the home we’ll purchase in Detroit.The reason I’m posting is that I’m struggling to decide how to best allocate the $120k.