Hey, I’m not an investor, but some unexpected costs to consider are closing costs, agent commissions, and most importantly, taxes.

Cash flow is definitely the biggest challenge; both in terms of finding properties to buy that cash flow with a loan on them and just company wide given interest rates and labor/material is up and, at least where I'm at in Jackson County, MO, taxes are way up too. 

I can’t imagine the returns you would have to generate. 22% federal tax, plus 8% state tax, plus 10% penalty.

If you’ve been active in the area, I’d love to hear your take—what’s working, what’s not, and anything I should watch out for.Appreciate any tips or advice you’ve got?

Its both asset protection , business planning as well working towards getting REPS status for tax purposes.

My strategy incorporates asset protection measures like LLCs, specific trusts as well as professional property management to spread risk and ensure quality operations.As well as using tax codes to my benfiitSection 179, IRC Section 162, Cost Segregation and Bonus Depreciation and later 1031 them out for larger projects. 

Sell, get the tax savings while you can.

How do you pay for the tax and insurance?

- Look into if property taxes are reassessed after purchase.

So if you buy a 5 bedroom house and rent the spare 4 bedrooms = you can still sell tax-free under the 121 (you just pay back depreciation) If you buy a duplex and rent 1/2 and live in 1/2.