It’s good to budget for unforeseen expenses.Regarding PMI, it’s worth discussing directly with your loan servicer since many lenders require holding the property for a period or reaching specific equity thresholds before removal.If market rents are $2,200–$2,500, hiring a property manager could help you optimize rent while taking the burden of tenant screening off your plate.

This property will require a pool to fully optimize its earning potential, and I've already factored that into my calculations.

They handle everything—guest communication, pricing optimization, cleaning coordination, and maintenance—allowing you to focus on scaling or other priorities.While you pay a percentage of your revenue, the time and stress saved often outweigh the cost, especially with larger portfolios.

Second, for you as a taxpayer you need to evaluate if your tax situation (e.g. property type, tax profile, material participation, etc.) will allow you to leverage additional losses generate from cost seg to optimize your taxes. 

I’d love to hear your thoughts on whether this approach makes sense or if there are other strategies you’d recommend to optimize profitability. 

If you must retain some cash, consult a tax advisor to understand the liability and optimize reporting.

One of my early properties barely broke even, but after a couple of years, rent hikes and expense optimization turned it into a strong performer.For cash flow benchmarks, I usually aim for $200-$300 per unit, but your situation.. house hacking.. offers unique benefits like reduced living expenses and quicker equity buildup.

Optimize now to fill the vacancy quickly.Thank you Kyle.

Work with a qualified intermediary and tax advisor to ensure compliance and optimize your strategy.

No active projects yet, but I’m gearing up to dive into multifamily properties, ideally 16+ units, with a focus on creative financing and NOI optimization.