Greetings BP folks,My wife and I are negotiating a deal in our area for a home that has a tax lien from the city and county.We have been working with the seller for quite some time and were offered the opportunity to purchase the home at a great price, we also have agreed to pay off the tax lien in addition to the purchase price. 

These expenditures are capitalized, meaning they are added to the property's basis and depreciated over time.Examples of Capital ExpendituresBuilding Additions: Adding a new room, deck, or other structural improvements.Major Renovations: Remodeling a kitchen or bathroom, replacing the roof, or significant electrical and plumbing upgrades.Appliance Replacement: Installing new HVAC systems, water heaters, or other major appliances.Structural Repairs: Replacing the foundation or significant repairs to the building’s structure.Labor CostsLabor Costs: The costs paid to contractors, electricians, plumbers, carpenters, and other professionals involved in the renovation are part of capital expenditures.Example of Capital Expenditures with LaborSuppose you renovate a rental property, including a new kitchen and bathroom.Materials: $15,000Labor Costs: $10,000Total Capital Expenditure: $25,000This $25,000 would be capitalized and added to the property's basis.

In addition, many townhomes have a splash pool and all of the communities have a clubhouse with resort style pools and many have lazy rivers in addition to the homes having pools. 

Additionally, there is no REA org here that I'm tracking. 

You can run background checks and credit reports on prospective applicants.

Yes, I've seen it change in the last couple of years, I had a lender that is a veteran credit union that used to offer them and they stopped.I am W2 employed and have a company on the side for real estate mainly short term rental.

Additionally, I'm not afraid of starting the business and building from the ground up. 

Low Repair Costs: With only $2,500 needed for repairs, the investment required minimal additional funds.

Low Investment: This strategy required minimal additional investment, reducing risk.

additions instead of conversion?