Hi Jacob, I just wanted to give some additional clarification quickly for any who may be looking at this later for reference.

Make sure it goes on their credit report. 

It’s an especially satisfying strategy for leveraging up from a 1031 where the gains made in the first property can put you immediately in a good spot to benefit from pay down with a larger loan with little to no additional expense.One of the 4 pillars of real estate wealth building, but probably won’t support too much alone.

At this point, I would recommend having a line of credit to cover these things so you don't have money sitting in the bank doing nothing when it could be put to work.I have 33 units, no debt except for mortgages, and excellent income.

What I mean here is that many people deduct their automobile expense in Line 9 – Car and Truck Expenses…..and you might be correct that itemizing your automobile deductions might allow you to get a HIGHER deduction when using this line….but your lender cannot add it back to your income!

We won't even accept credit card payment as that can often be pulled back after payment.

You can close in an LLC if that's a concern, and many times the debt isn't reported to personal credit.

Your home will be reappraised after the rehab for this refinance and may increase in value enough that it may make sense to cash-out-refinance or HELOC the property to rehab your next investment property🏘️the larger lot distressed property may open up additional opportunities to you via EHB 1337 and future associated ADU/DADU opportunities.I bought my first distressed investment property the first year out of college (duplex in Bremerton for $350k), then bought a second turn-key estate sale (~$200k SFH in North Carolina).

A business credit card is a great idea, I made 14k in cash back last year.

Additionally, I helm Parhamade Productions, a real estate photography and videography company dedicated to showcasing the allure of short-term rentals.