Having the bare minimum can be okay but it also puts them in danger if something should cost the HOA and when that account goes to zero or under 10% they generally raise the HOA fee's.

Maxing out the ltv will cost you money.Hope that helpsStephanie

I would also consult with a certified cost segregation specialist in terms of classifying other assets into their appropriate class lives.

While it’s not Upstate NY, if you’re ever curious about diversifying or want to compare strategies, I’d be happy to chat.Best of luck with your decision, and feel free to reach out if you’d like to discuss further!

You might have an easier time buying a parcel and subdividing it into residential and commercial lots, then proposing the commercial use variance just for the commercial lot.Doing all of this research on your client's behalf is mighty generous and very time consuming for you.

Thanks in advance for patiently answering my question.PS: I don't have a CPA, and I'm in the process of getting one, but I wanted to get a frame of reference so I can roughly compare notes with anything my future CPA would propose.

Managing tenants comes with its own challenges, but it's definitely a viable option to get started in real estate.Wishing you the best on your journey, and feel free to reach out if you ever want to chat more about it!

But, if the cost is fairly nominal, maybe under a couple grand, and you have no experience in real estate, including owning your own home and hiring contractors for that, then it is likely worth it.I would always start with a deep assessment of where you feel you don't have adequate knowledge.  

Second, it could free up a lot of time.I recently converted my STR to LTR.

Have you estimated the repair costs?