I wouldn't want to be doing a new BTR deal right now and ReFi at a 7-8% rate, unless of course it penciled.When subbing out to other contractors, you can expect to pay 20-40% more than it would cost you to manage/do the work, so make sure you bake that into your model as well.

That hard work includes making the investments that the current owner hasn't made (nicer kitchens, new flooring, fresh coat of paint, etc.), removing tenants and marketing to new tenants.

After transitioning all four residential tenants, we gutted each apartment and started fresh.

It’s true that freshly renovated properties should have lower maintenance costs in the first few years, but this doesn’t account for unexpected expenses.

Replaced both toilets with brand new ones, replaced the 2 car- garage door with a brand new one, had all the walls freshly painted, put brand new baseboards in, and had the kitchen cabinets painted as well.

Here is a fresh example, and it actually came from another tax firm (not mine) specializing in real estate.Let me briefly tell you why I crossed out their pitch:Strategy 1: depends on your 2025 projected net income vs your 2024 net income, among many other factorsStrategy 2: can backfire amidst the uncertainty of future tax rules regarding bonus depreciation, and also ignores alternativesStrategy 3: no rush to do it before December 31stIf you decide to continue reading, I will give you a high-level overview of the most common EOY tax strategies, obviously without an actual discussion of each one.

I'm at the beginning of my investment career, fresh out of college and pretty heavy in debt at 7% interest.

Otherwise, if you're assuming third party management, then maintenance is either baked into their fee or charged hourly like a vendor. 

So yet, there are a lot of fresh units just hitting the market this year and new ones that will hit soon adding to the competition. 

Most of the time they are young 20s and fresh out of college and never owned a pierce of real estate.