I gave my tenant a form from Wells Fargo, they signed it and presented it to their bank.

Can they prove how long it takes to rent a vacant property?

Hi @Renzo Figueroa, I know someone buying properties in the Tampa Bay area with a unique rental strategy that is grossing around $4200-4500 per month in rent based on long term rentals on properties around the 400k price point.

How long did the reno take? 

Curious what type of work you did on the property, how long the project took, and what the exit looks like!

This can potentially enhance long-term wealth building.Tax Deferral-By reinvesting your proceeds into like-kind properties through a 1031 exchange, you can defer capital gains taxes, allowing you to reinvest more capital.Market Timing-Despite the competitive market, a 1031 exchange gives you a defined timeline to identify and acquire properties, potentially putting you ahead of other buyers who might not be as motivated by a tight deadline.Cons:Lower Initial Cash Flow-Acquiring additional properties may reduce your immediate cash flow, especially if properties in your target market are not as cash flow positive as your current property.Risk of Overpaying-In a competitive market, there's a risk of overpaying for properties just to meet the exchange deadline, which could impact your overall returns.Either one is a valid option, but overall it depends what your financial goals and restrictions are.

So, as long as you have at least 5% down AND the second lien meets these requirements Fannie Mae second mortgage requirements  you should be able to do what you are looking to do. 

Just depends on your long term goals. 

Most lenders do not like these lower property values because they are too risky of an asset class, little return in interest and fees, and long term financing will be an issue as well.

Long-term tenant that always pays on time.