You can later transfer the property to the LLC, but be aware it might trigger due-on-sale clauses or additional costs.

Additionally, FEMA updated the local flood maps here in July 2024 and much of the area now requires flood insurance. 

Additionally, when underwriting deals, you need to account for the general idea that repairs and maintenance will be a larger percentage of your rent, the lower your rental is.  

That is an additional savings. 4.

You will likely need to rehab for any strategy but Co-Living will be more bedroom additions which is less cost compared to kitchen and bath remodels that are more needed for furnished rentals. 

Quote from @Lisa Albright: Hi All,Newbie here, just a quick question we are building an addition on our second home, we have a primary residence, and two rental properties.

For REP status federally, you must meet two requirements: work 750+ hours in real estate activities and spend more than 50% of your total working hours on these activities during the tax year.

As important a consideration is how will you reinvest/spend the proceeds from the sale to build wealth.Hope this helps.

Thank you all who responded, I plan on spending some time driving the neighborhood and talking to anyone at the local coffee shop who will talk to me. 

Additionally, my husband lived there for six years, and the city feels like a second home to me.