Taxes 10k HOA is 9k The current owner never did short-term rentals.

I have family in Houston, Dallas, and the Valley, I was networking with brokers in San Antonio, but the Taxes seem to be quite high as well in that State, although much favorable laws/regs on the landlord side.

example:Purchase Price: $70kRehab: $30kARV: $200kRent: $1,500I can pull out up to $150k but with taxes and insurance I’d be in the red.

Tax structuring and LLC advice you can get for a paid fee too.

But I read that there's downsides in doing that just don't know exactly what- capital gains tax, etc. also I was told to open up a new LLC and use my current LLC as the manager.

I'd also add to that that you are paying a 20% withholding tax on gross rental income. 

Mgt, Landscape/Snow, tax, insurance, utility then debt service. 

@Anita Z.I recommend finding an accountant who specializes in real estate taxation, tax planning and financial planning.

At a high LTV your leverage will be magnified.If your cash flow really is break even (I have my doubts) then with the magnification resulting from leverage, you could produce a fairly good return (ROI from leveraged appreciation, equity pay down, tax benefits).Good luck

Now I can see some builders having an issue with comps.. but other than that its crazy to take these funds as income and then pay tax and plow it right back in..