That’s an important distinction because your end buyer’s bank likely won’t include that fee in the loan, which means your end buyer will have to come out of pocket to pay it.

Inexperienced or conservative investors do not grasp the concept that every property has two distinctly different income streams.

Are there any distinct advantages to one or is it more based on my credit score, debt to income ratio and down payment as to which may be more advantageous at the time of purchase?

welcome to BP's Lisa. we are in Lakewood, and carry the distinction of being the longest running newbies on the forum. best of luck

@John Woodrich There is a distinction between true cash flow and artificial cash flow.

Deductible SEP-IRA contributions are distinct from depreciation - while depreciation represents "paper losses," SEP-IRA contributions represent real changes to to your business and personal cash-flow; the money contributed to a SEP are real dollars that can only be used by the SEP.

Making sure to make a clear distinction between your rental business and your personal finances, nothing says you can't add a few months rent to their account out of your own pocket, via some cash to your PM.

Account ClosedNice to see you participating in the forums ... and the small step forward of dropping one of your frequent {stuffed} keywords from your post.The handling of a squatter vs a tenant will undoubtedly differ with jurisdictions, so the ultimate advice is to consult your legal counsel on the matter.The crucial distinction - at least here - that that a squatter had no legal right to be at the premises and is essentially in trespass / illegal possession of the property.  

If these were two distinct projects, then you can start depreciating the first one in 2017.

@Dan Heuschele They were there a year and left the place smoke damaged from scented candles!