Hey bigger pockets family, I'm facing a dilemma that consists of me choosing whether or not to buy a tiny home and put it on my current home's property, creating an ADU to rent out or to save that money that I would put into the tiny home and save for my next purchase.

I'm in the process of purchasing a STR and am intrigued by the 3-2-1 buy down. 1st year of the loan would be 4.5%, 2nd year 5.5%, 3rd year 6.5%, 4th year standard market rate.

I agree that is will be a gamble as to how well it will do.Also, ask the owner if they will entertain partial owner financing to keep from dragging family and friends into this risky business venture.Maybe even rent from owner for a year with right to sublease to see how it goes before committing to a purchase.

I am interested in purchasing the property and was wondering my best course of action at this time.

If you have not already purchased this policy, I would look for a policy that provided a stated amount deductible for wind/hail vs. a % deductible.

Purchase price: $516,000 Cash invested: $600,000 Converted mixed-use 3 residential and large commercial space into 5 residential units and one mixed-use Building.

But after working with the family, we purchased it for $42,000 and got to work.We had some unique challenges, like dealing with one of the heirs who wasn’t very cooperative and required a payoff to sign the paperwork we needed for clear title.

Purchase price: $330,000 Cash invested: $11,000 Sale price: $355,000 Fix and Flip

Or buy something that needs some love and some hard money lenders will fund up to 90-100% of the purchase and rehab.

You could sell the AITD to a note buyer who will pay off the underlying at closing - BUT the buyer will need to purchase the wrap for at least the amount of the underlying.