Quote from @Ashish Acharya: @Niklas Zhu If you tear down your STR in 2025 and convert it to personal use, depreciation recapture does not occur at the time of conversion.

Now my investor network as expanded and the best split I have experienced was 65/35 in my favor but I invested 40% of the cash and created over a million in imputed equity before any investor dollar was raised allowing me to originate a bank loan at 87% LTC.

Since bathrooms are relatively small, using some unique tiles and fixtures won’t break the bank and will go a long way with buyers.3.

The extra 1050 a month definitely helped with the bank.

Bank recourse How did you add value to the deal?

It’s one of the few places where you can still buy affordable properties, get strong cash flow, and see appreciation in the right areas.I personally built a 12-door portfolio there, and while it wasn’t easy, the market fundamentals are strong—affordable entry prices, high rental demand, and a city that’s been seeing steady growth.

One person works for a well known home builder. 

Also, would this loan help build my personal credit, or would it only report to business credit bureaus under my LLC?

I’d suggest starting with local credit unions or community banks—they’re often more flexible with investment properties.

And the fact that you have a contractor you know personally is name of the game!