There has to job growth, bigger lots, favorable taxes, better schools, or an easier commute into Minneapolis to justify the prices. 

The supply is more difficult to add to than virtually anywhere else.Therefore, San Diego is justifiably an expensive place to live. 

Do I need to justify with showing them the bills to water and gas?

If you are an equity partner in a syndication you get depreciation write-offs and often times they are substantial because these assets are expensive enough to justify doing a cost-segregation analysis which allows accelerated depreciation write off in earlier years...cost-segs are expensive so they are not always worth it on smaller multifamily properties, but when you are talking about properties that are worth millions it makes sense.

Until you have the cash flow to justify an entity, I would make sure contracts are strong and you have both great property insurance and an umbrella policy.

On the other hand, it would free up your ability to buy another house with a VA loan, and maybe you'd have enough from the cash out refinance to make that down payment (but you need to make sure you can get the kind of rent that justifies keeping the house to begin with - not every house is a good rental)

This can be very expensive and is usually the worst choice to make because you can't justify the cost.2.

There are things that I love in my house, like my custom 6in floor trim, that will not drive rent or a rentals value up by a way that justifies the cost.

The income from the coin laundry should offset my lawncare, trash, and water charges, and also justify a rent boost, over time, with existing and future tenants.In about 2 years, I plan to have rent rolls up to $5,500 - $6,000 / mo, and charging water, trash, and lawn care back to the tenants.

The income from the coin laundry should offset my lawncare, trash, and water charges, and also justify a rent boost, over time, with existing and future tenants.