That means either you won't cash flow or your Return on Equity (ROE) will be terrible.Since this is your primary residence you'll be exempted from paying capital gains taxes when you sell.If you sell to your parents, it will be considered a non-arms length transaction and will get closer scrutiny.

I’m finally wanting to pull the trigger on getting another property, but this time the primary goal of turning the sfr into an Airbnb.

300k purchase + 10-15k closing + 80k remodel + 5k for refinance costs. 80k remodel number I got from my father who is a general contractor in the area. 500k ARV x .80% refi (because it would be my primary residence) = 400k minus 15k closing, 80k remodel, 5k refi cost = 300k my original purchase price.

Assumption by an EntityUnfortunately, assuming a VA loan directly through a legal entity (such as an LLC, corporation, or trust) is typically not allowed because:Primary Residence Requirement: VA loans are designed for owner-occupied properties, meaning the assuming borrower must intend to live in the property as their primary residence.Credit Review: The VA and lender require the assuming party to undergo a personal credit and income review to ensure repayment ability, which entities cannot satisfy.3.

I bought it about 9 years ago as a primary residence, which keeps my taxes low.

I currently own my primary residence and have about 60k in equity.

Without having to analyze the numbers I was able to respond with a reasonable explanation of why an investor would not be able to pay as much as owner occupant for his house.I guess people who eschew the 1% rule would go back and spend an hour putting together a detailed analysis to answer that question.

Hey Ed - this one wouldn't qualify with DSCR if one of the houses is your primary (assuming all are on the same tax parcel).

HOWEVER, it's primary appeal is affordability rather than being a great or cool place to live.

OJs main asset shield was his primary residence in Florida, which has unlimited homestead protection.