Whether you’re flipping, building, or investing in rentals, I’d love to hear about your experiences and how you’ve worked around any roadblocks.

Hi Palak,Congrats on your first rental property!

This creates two loan payments ($100,000 of equity and $300,000 on the new mortgage).Key NumbersHome Equity Loan Interest Rate: 6%Mortgage Interest Rate: 7%Rental Income: $3,000 per monthExpenses (management, taxes, insurance, maintenance): $800 per monthIncome and ExpensesMonthly Rental Income: $3,000Monthly Expenses: $800Monthly Mortgage Payment: $2,000ExplanationThe investor earns $3,000 in rent each month.They pay $2,000 on the investment property mortgage and $800 on other expenses.This leaves $200 profit each month or $2,400 per year.However, you have to pay $6,000 interest on the equity borrowed.This leaves you with an annual loss of $3,600.While the rental property generates positive monthly income, the interest cost of borrowing the initial $100,000 results in an overall loss.

and also like what I do Utilize as STRs: You furnish and list these properties as short-term rentals (STRs) on platforms like Booking.com or Airbnb.Generate Cash Flow: The higher rental income from STRs, compared to long-term rentals, allows you to cover your mortgage/lease payments, generate positive cash flow, and potentially have funds left over for further investments.Positive Cash Flow: STRs often generate higher rental income than long-term rentals, allowing you to cover your costs and potentially profit.Tax Advantages: You can often deduct expenses related to your STR business, such as mortgage interest, property taxes, and maintenance costs.

Did my rental analysis and it would work fine as a long term rental.

Playing around with my Excel spreadsheet and got to thinking about selling my rental property in the next few months vs waiting until it's paid off in Jun 2027. 

For FHA, the underwriting guide says 75% of the lesser of A.) the leases/rental agreement or B.) the appraisal comp rent schedule.

Thanks everyone.Annual T4 income: 250K380K in liquid investments.Principle property est. valued at 670K with 250k left owing and 155K heloc attached.Rental 1: purchased 2021 for 220K current est. value at 270K was a house hack with 5% down and $1600 monthly rental income.Rental 2: purchased 2022 for 280K 20% down current est. value 345K rental is $2000 monthly Rental 3: purchased 2023 for 267K with 20% current est value 310K rents for 2100 a month.

Do Florida rentals still pencil out with current insurance rates?

No--the rental agreement could begin a reasonable amount of time after you move out.