You will never pay more tax in recapture than what you originally deferred, assuming your personal tax rate stays the same.

@Allende Hernandez what happens if one or more occupants move out and the others stay?

Hey Matt, As a solo-shop, I use the following to stay on top of my client's minds and files: 1.

It was a good learning experience, but it made me realize that staying away from major rehabs (for now) might be the best move until I have a more reliable system in place.That said, having family in the area like your sister and brother-in-law is a huge advantage!

Stayed afloat (barely) through the pandemic with NY properties so i've seen it all at this point. 

My 4 personal STR's are all in San Antonio did over $575k in 2024 and on track for $650k in 2025.I think you are generally looking in the right areas, but there are a few things to keep in mind:1) Stay inside of 1604. 

I don't see them showing up or paying any of the back rent that's due to become current if they wanted to stay.

Meet other investors in your area and stay in touch with them; you can ask them questions that might prevent problems.Best to you!

Just know that if you are moving somewhere to chase the hot market, it will only stay hot for so long.

Short term rentals are legal when the host is living in the same apartment as the guests and there are no more than 2 guests staying with the host."