I was doing short-term renting but my HOA has required 6 month minimum for renters.I fell in love with the grounds which include a gunite pool, beautiful patio with sunset views, and rolling landscape.

The monthly mortgage payment from this loan is about 50% of John's monthly ordinary income from his W2 job, which essentially maxes out his DTI ratio, unless the rental income from the house is factored in which would offset the mortgage payment.The house is finished in Aug 2021 and the house appraises for $370,000.

My lease says tenants are responsible for ordinary pest control, just like I am in my own house.

Gas grills, patio furniture, artwork and other things like that are bonus items. 

@Cody L.Sure, if we assume a flip, it's all ordinary business income subject to SE or cap gain and the breakout doesn't matter as much.If it's a buy and hold rental, an itemized rehab invoice allows a (competent) tax pro to determine what can be expensed in the current year, what must be capitalized, and/or how much to take in partial asset disposition on the pre-rehab structure. 

You pay ordinary income taxes at your marginal tax bracket on $47,400 in profit. 

This isn't your ordinary coin flip.The solution to analysis paralysis is definitive clarity.

(b) Dispose of property, either in the ordinary course of the business or when the Managers determine that such disposition is in the best interests of the LLC.

This tenant has power washed the deck, restained it, built a brick patio in the backyard, and pays rent every month on the 1st.

There are many similar houses in market for rental in the same community.House B:Price: $238kSize: 1564 sqftPotential Rental: $1700 - $18503 bedrooms and 2 bathroomsPlus point: Good design, House was already upgraded with $25k of designer appliances / sprinklers system and other premium options like Patio etc.