But before you rush your decision, you need to realize one critical distinction: treating this transaction as a business allows you to deduct all business expenses against this income.

A 5 bedroom will work for one segment of the travel market, not for a single, couple or family of 4 or 5. 

By adding in all property types, new con, pre existing, condos etc etc, and keep it segmented to JUST Luxury real estate $ levels.

This can have distinct advantages.

But the distinction is that single source funding is what is illegal and that transactional funding is legal. 

Tell us what your plans and goals are and what segment of RE you enjoy.....?

If your coach is from across the country, and simply going to provide you a pre-packaged underwriting template, a segment on "how to pick a market", and lives in the world of 300+ unit deals, when you are looking at 30 unit deals, I would pass and use the typical 10s of thousands of dollars towards your downpayment.

We’re seeing a big shift on MLS-listed properties now compared to the peak a few years ago: much higher DOM for certain properties, much higher inventory in certain market segments, more price adjustments etc. lot of deals on the MLS these days because buyers aren’t active at all, while some sellers still think it’s 2022, they’re getting greedy and listing way too high then  don’t adjust quickly enough when they have zero showings or offers, and let the listing get stale, then eventually cave when all they’ve got in hand is a blood-sucking offer from someone like us ;).

@john Is there a distinction between eviction and foreclosing? 

To lead this process of decision-making, formulate distinct preconditions for investing, among them cash flows, expected returns, tolerance of risks and investment timelines.Good luck!