The fact that it loses money is somewhat mitigated by my tax savings at year's end (I have RE professional status).You just have to keep in mind that although there's a lot of tourists to the area a lot of them are cheap bastards that gravitate towards the lowest fares out there, and there's so much supply especially in the last 2+ years that it's a serious race to the bottom as you're competing with people who bought at $150-200k 10-15 years ago, never fix up their place and don't care if they rent for $99/night.

There are also strategies that can be put in place to mitigate unforeseen capital expenditure (capex) expenses.

Keep piling up cash; I'd encourage you to start with a house hack - you mitigate risk by buying a place where you actually want to live. 

This can result in a home that’s only superficially ready for market, with long-term durability concerns.To mitigate these risks, potential buyers should:Hire a Professional Inspector: Get a thorough home inspection from a reputable inspector who can identify potential issues.- Check Permits and Codes:Verify that all renovations were done with proper permits and comply with local building codes.- Research the Flipper:Look into the history of the flipper or the company that did the renovations to assess their reputation and track record.Be Skeptical of the Cosmetic: Look beyond the surface-level improvements to understand the true condition of the home.Taking these steps can help ensure that you are making a well-informed decision and investing in a quality home.

You cannot double dip by adding a new renter and still collecting rent from the old tenant on their lease and you must make a good faith effort to mitigate your damages (find a new renter).

An updated roof mitigates potential water damage in the future.

Hello, I am currently contingent on a Contract for Deed duplex and am getting pulled both ways on whether going Contract for Deed is a good idea or not. Situation: - 3 years at 6.75% with a balloon at the end. We can ...

Acquisitions team, renovation crews (fully licensed and insured), Property Management, and a Real Estate Investment Brokerage in case you ever decide to sell.By teaming up with a solid firm you can mitigate your risk and have some "boots on the ground" that have your best interest in mind.  

Hey guys. I have a question. I’m buying a house and assuming a VA loan for it from a veteran. It’s not a subto. How do I protect my assets and potential liabilities? I know I can’t use an llc for it. Besides buying pr...

I might look to practical things that can be done to mitigate those risks such as adding a sprinkler system to that basement unit or something like that.