If the numbers don't work for expanding the building, explore the potential based on the current space. 

@Mark Sullivan I'm based out of Rhode Island so not sure if my providers lend where you are located.Biggest thing here, I would look for a portfolio lender.

Experiences will vary significantly based upon location.

Areas near downtown Ventura or the college (Ventura College) are worth exploring for strong tenant demand.

The tax is based on selling price minus purchased price.

**Selecting Properties**: When choosing a property for Section 8, focus on neighborhoods with strong rental demand.

Have some initial conversations to see who’s responsive, knowledgeable, and investor-friendly.Once you find a good fit, you can focus on building a strong relationship with that one realtor.

I have seen loan qualifications based solely on passive investment income from rental properties, social security/disability payments, pension payments, etc. 

Quote from @Michael Overall:I understand the utilities will go to basis, on the interest is it able to be yearly deducted based off the conversation you referenced if using form 4952According to one of my colleagues on that thread - yes.According to court - no.

I love the flexibility they offer for traveling professionals, military families, or folks in between moves.My main questions:Have you noticed increased demand for midterm rentals in this area, particularly from military personnel at nearby bases or healthcare workers at local hospitals?