That can be a draw back if the market is on a mad run up tho.Also, I would always have enough in a heloc to cover your 401k loan in the event of job loss or if you quit your job. 

So monthly expenses are $2809.I'm assuming for the sake of this conversation that you charge $150 per night and are occupied 50% (15 nights a month), so your projected income should be $2250 per month.If the above numbers are accurate, you will have an operating loss of -$559 per month.

The most important thing is to ensure your loan is covered in the event of a loss.  

- Loss of historical data (for both IRS audits and for personal portfolio tracking.)You should be able to print the general ledger and Balance sheet / income statement for each period.

I did a punch last week with the builder.  

Learn the eviction procedure for your area, perhaps contact a lawyer in the field to help you with this one, and get the fraudster you're currently housing out on the sidewalk to sleep in a cardboard box where they belong.You're going to lose plenty of money here, but this will never happen to you again, and you can minimize your losses if you move as quickly as possible.

The tax benefits refer to the tax deductions from mortgage interest and property tax.The returns mainly rely on appreciation, and the cash flow only improves in the last few years, also depending on securing the 5% refinance rate.I've learned a lot from this forum, but as I start to operate on my own, I'm still not completely confident.

Assuming you are both working and the rentals are long-term, rental losses up to $25,000 can offset W-2 income if your MAGI is under $150,000, with excess losses carried forward.This post does not create a CPA-Client relationship.

I think behind tenant screenings and leases there is a quality of a landlord that's also as a person that is the respect for a good person and the intelligence of making fair affairs.For me for ten years in the past I had a house of 650sqft (two rooms and cozy kitchen) where I always have been giving away one of the room for others who were asking for help for themselves and I didn't had any earnings for me by that, and that has been during for many and many years, meanwhile I was surely needing more space for me, for my business in a studio and for my own personal life I eventually could have been having.Nonetheless this, on last years I had no more an house and I needed a room for rent, but even before any screening the landlords were being unrespectful and very unreasonably severe to me, they often had making me lose so much time by no taking or going away to the point I had no other choices in the end, and they set me in the wrong places for me, dangerous ones, too small, too big and very expensive, unhealthy ones or not providing anything at all when it was obvious they needed to.To me this kind of behaviour is very wrong, mostly because usually they are the same people who pretend respects and acts as they are very careful and attentive to housing situations in general, but with me, they have been lying above anything and just disrespected the person at a human level. 

A 50% decline in asset value would result in a $10,000 loss, double the loss of the unleveraged asset.