An annual business tax as a hotel of $50 and collection and remittance of transient occupancy tax of 12% from renters is required of all short-term vacation rental operators.

I want to take advantage of growth if possible, but also want to minimize taxes and fees (penalties).

If you need financial help, ask under the "Finance, Tax, and Legal" forum.

It's a more affordable market and lower property taxes, so you may actually have a chance to cash flow.

And it can work really well for you as long as you pay attention to the statute requirements.In order to defer all tax you are selling investment real estate and buying investment real estate of at least the same value you sold. 

I am about to graduate college in May 2025, and will be making about $120k (pre tax) in my full time job postgrad (Washington DC area).

@Pratik as @Neil Narayan mentioned, cash flow is very challenging due to the property values, property taxes, and soft rental market.

If you need financial help, ask under the "Finance, Tax, and Legal" forum.

-Management is low - you'll need at least 10% plus leasing costs - typically a month's rent for each lease-up, and sometimes a renewal fee as well-Insurance seems low-Are taxes accurate? 

@Michael James Hamlin I'm a former tax accountant/business consultant turned fix n flipper and investor friendly agent.