Also what kind of expenses do I need to take into consideration besides electric, heating, water and trash?

This will save you money when you hire the securities attorney to draw everything up since the issues will be thought through in advance.

But for a 6 month lease starting in November, December or January - I would give that consideration, since it would end just in time to be in the busy rental season, and then I could find a tenant to take it for a year.The real issue is the dogs and the potential for damage that they will cause, and whether you can recover money from this tenant to cover that damage.

Even if it costs a couple thousand, that's a rounding error on a $2.2M project.One other consideration is that developers earn their money the hard way, with blood, stress and tears... and more stress.

If you do it yourself they will make you draw some plans in a format that they specify and then pay for permits.

The Brokers open also draws in realtors.

Regardless of the 401k considerations, I'm not sure I understand your math.

How the rehab funds are distributed (strict funds control draws thru escrow or simply handed to you as a lump) would be between you and the lender.

The downside is you may be in a high (or higher) income tax bracket in retirement, so you will be paying lots of tax on your withdrawalsIf you earn a modest salary now or have a business which carries some of your living expenses (i.e. vehicle) - or have rental properties in your own name which are not producing huge cash-flow {yet} - but expect to have larger income/assets in retirement, then a {Self Directed} TFSA may be a better fit.While I have both, at the moment I keep most of may capital in my companies and only draw a minimal salary.

After some quick calcs, if you buy the second property and invest the extra $4,200 someplace else it would have to earn a 78% return so that your entire 18,000 would equal the yield on the first property.Also note that my comments above do NOT take into consideration qualitative factors such as the condition of the property, how nice the neighborhood is, etc.