I use credit cards, write checks, and pay in cash.Each situation can dictate the payment type. 

However I don't have enough cash budgeted out to put a down payment on a second STR.

As already mentioned, you could sell via seller financing to lower AGI, as all you would have to claim is the payment income - until balloon payment received.Did know an investor that had 14 properties paid off and he moved into one every two years to then sell with the $250k single exemption.

@Ben SyzekFor long term rentals in Colorado Springs you will need to find a deal at 50% ARV (This is very hard) or do a large down payment of 25-35%.

The deduction is optimized as values increase and can potentially offset the entire net investment (including down payment) for high wage earners.

We just need to verify that you have cash for the downpayment, closing cost, and up to 6 months of the mortgage payment as reserves.

A $100-$200k down payment would get you a decent multifamily property, possibly with land depending on where you look. 

.- $14,970 in change orders, thus far.At two years since lot purchase, loan costs have added up between closing costs, interest payments, and extension fees, as well. 

Some special assessments are already board-approved for 2025 and 2026 to help raise capital for such items, however I know when the time comes there will be a loan which likely demands a higher monthly payment for owners -- reducing my cashflow. - Based on sale of other units in the complex, I believe my current equity to be roughly $160,000, a little more than 50% equity. - The condo is currently leased through April 30, 2025. - August 2025 will be 3 years since I moved out.

I now am more selective about loan officers as well as lenders.