Renting at FMV allows you to deduct mortgage interest, property taxes, repairs, HOA fees, and depreciation against your W-2 income, potentially reducing your overall tax liability.

Self managers can reduce their PM costs significantly. - Furnishings and Design: Active vacation rentals are usually sold furnished, vacant homes are not.

The down fall is a Heloc can "Never" be used as an asset or for PITI reserves required when buying a new Primary or investment property.A heloc can also cause major issues with credit and one slight hiccup or missed payment the bank or lender who is holding the Heloc can close or reduce your line of credit.

@Peter Tverdov it depends on going wages in your marketplace.I would imagine labor costs are much higher in NJ than in MI.

Some programs will do the full LTV that a long term rental would have and some lenders will reduce the LTV by 5%.

Using a 1031 to upgrade to a two-family could help you reduce or eliminate the $1,000 out-of-pocket expense you’re paying now.Also, condos often come with HOA fees that limit cash flow, so be mindful of their impact.

Explore a DSCR Loan with Reduced Down PaymentSome lenders offer DSCR loans with minimal cash-to-close requirements if your property cash flows (even marginally).

Licensed with permits ~$3,250.HWT standard gas single family low efficiency without exhaust retrofit $900.Sand and stain hardwood floors, natural stain $3 per sf.Paint interior walls, ceiling trim and doors 3 tone paint scheme 2 coats $3.20 per sf (floor area cost includes paint)Click lock LVT flooring install overlay inclusive of prep and quarter round $4.50 per sf (materials and labor)Asphalt roof installation 3/1 - 800 sf bungalow with 2 layers of shingles - ~$7,900Standard porch cap replacement with 2 new precast concrete steps ~$2,500Used stove or refrigerator delivery and install $350New stove or refrigerator delivery and install $HD model specificUse this as a general guideline. 

We had good capital gains on our first new property so we were able to inject that in our current primary residence reducing mortgage amount.

Is there a way to reduce the amount of hours so you have more time for other activities?