I think it really depends on if you are able to increase that cap rate with value-adds post acquisition.

Another consideration is that if you do a 1031 exchange back out of CA the state is a "claw-back" state so CA will try to get their capital gains eventually.

Do you know what your family in Austin is buying?

Be very careful when it comes to vacation homes you need to be very experienced to be able to calculate the exact net cash flow. there is so many expenses that you might not understand, in other words you need to do your homework before touching any vacation rentals especially with the pandemic .

Be sure you have registered ALL your Corporations and LLCs by December 31, 2024Failure to file is a $500/day/entity fine!

You live in one unit, rent out the others, and your tenants help pay the mortgage.With loans like FHA or VA, it’s easier to get started.

You can easily do this on a spreadsheet, and it will take less time to track than finding and learning new software.

BiggerPockets is full of resources designed to help you along your journey, whether you are just getting started or a seasoned investor.

Check with your CPA if you instantly owe the depreciation recapture if you gift it to your son.

JamesYou do not state if this is for a rental or owner occupied.