One potential solution is switching to Section 8 in the future to improve cash flow.

One thing I’ve noticed is that while many investors are great at finding deals, scaling and systemizing their business is where the real challenge begins.Some key obstacles I’ve seen investors struggle with include:❌ Inconsistent lead flow – Many rely on one or two marketing channels but don’t have a system to track performance or improve conversions.❌ Poor CRM management – Leads get lost, follow-ups are inconsistent, and opportunities slip through the cracks.❌ Not leveraging automation – Repetitive tasks like lead follow-ups, KPI tracking, and marketing execution can eat up valuable time.❌ Building the right buyers list – Some investors struggle to find serious buyers who close quickly and consistently.What’s Been Working?

AI is not some magical, all-knowing miracle that can pull leads out of thin air.AI is simply a faster, more hands-off way to find the same low-quality leads you get from DMM, cold calling, and SMS marketing.You’re not improving lead quality—you’re just finding bad leads faster.

@David Avetisyan If you sell your home for $510K and provide a $10K seller credit, your taxable gain is based on the net sale price of $500K ($510K - $10K credit), as seller credits reduce the gross selling price for tax purposes.Tax Impact in CaliforniaCapital Gains Calculation: Your gain is the net sale price minus your adjusted cost basis (purchase price + closing costs + capital improvements).Primary Residence Exclusion: If you’ve lived in and owned the home for at least 2 of the last 5 years, you may exclude up to $250K (single) or $500K (married) under IRC Section 121.California Tax: Capital gains are taxed as ordinary income at rates up to 13.3%.The $10K seller credit lowers your taxable gain.

I’m almost 3 years from construction, which is when my tax exemption on the improvements expires.Now my question is, if I turn the SFR and DADU into legal condos, is there a risk that my original mortgage on the SFR a conventional one could be called? 

You will need to keep track of all expenses, repairs, capital improvements and finally claim depreciation during tax filing 🙂

These improvements significantly enhanced the property's value.

Finding cash-flowing deals are tough, but pad-splits could be a game-changer—both for improving returns and addressing affordability in housing

Absolutely, have you done any improvements to the property or has it gone up in value?

Another resource is the Property Tax Appeal Project, a free service by Street Democracy and the Coalition for Property Tax Justice, which supports Detroit homeowners, especially those with low-value properties, and can be reached at 313-438-8698 or via their online form.That said, be cautious—some companies might push for appeals that aren’t worth the cost if the assessment isn’t significantly off, and Detroit’s recent assessment accuracy has improved (though low-value homes can still be overassessed).