@Kyle Swengel, I suggest you look into the negative effects of deprecation recapture, as well as if the losses generated from the cost seg you can even use to offset significant income.

Ok thanks for the advice and suggestions. 

I would suggest you may want to look into being the bank were cash flow is higher than rentals and its tax deffered a good mortgage broker can get you 10 to 12% COC today and there are funds out there that will pay 8% all day long although your not the sole owner of the mortgage so there is that.

In the other unit we created a simple surround with 6x6 white tiles from the top of the traditional tub to the ceiling.

My suggestion would be to send the security deposit claim for the anticipated refund minus what you anticipate the bill will be (historical average plus some padding). 

Just something simple I could use pro tem. 

It all depends upon the total cost of construction, based on that your monthly fixed cost/mortgage will come into picture.You cannot rent too far from market rate, essentially you should have some spread between mortgage(construction cost) and rent to cover for cashflow, vacancy etc.I would suggest you to keep the selling it out as your second exit strategy if renting is your first one. in that case your construction cost + selling cost cannot be more than market price of new construction.You can also try to reach out to developers to give them a piece of the pie but then you will have to sell for sure.

You don't really need to have direct ownership of RE to generate 6-8% of income.In term of appreciation, I am able to make 1 million in cash while doing nothing and following your suggestion above in 2009, key here to have multiple houses as leverage, that appreciate faster than mortgage rate/debt investment return.

. :) Surprisingly, the HOA has no lease minimums, my real estate lawyer confirmed when I bought there is nothing limiting me from renting it on Airbnb (which was her suggestion lol).

With one of the largest expenses on the line, I suggest the buyer truly understand the septic's health, not simply hope to pass the inspection.