Insurers may view the property as a higher risk, especially if there have been multiple claims.

Mortgage payments, real estate taxes, utilities, property management fees, landlord insurance, and upkeep and repairs are examples of fixed expenses.

Expenses: Insurance is about $145/m property tax about $208/m (my guess, lowkey the property got tax assessed at $89k in 2022 and now its worth what it is now so I'm guessing $2450 a year).

@Gavin JexSo you want a bank loan and then seller finance as wellA bank would not be in second position so they as the owner / lender would be in second.Also 0% they would still be responsible for taxes on that at AFR so if your payment is $300/mo the loan would go off federal rates so they would essentially have to claim around $5k in interest income which would be ordinary income so they may end up paying all of your payment in taxes… just fyi if they did speak with someone on thisSounds like a steal if deal for you

Deni Baldwin, the tax partner, is more interested in talking about her vacations at her lake house, rather than getting her job done.

Is your DSCR ratio greater than 1-meaning are you cash flowing (according to the lender's criteria of mortgage, property taxes and insurance (and HOA) if applicable).

You can create an LLC in the State of Florida online for $135 just visit sunbiz.org. you can then use a title company or get a quit claim deed online and record it with the county government where your property is located.

U want your parents to talk to their CPA FIRST.. if they go the development route they are now ( depending on the amount of units) creating inventory.. which will be taxed at ordinary income rates ( very HIGH)if they just sell they can 1031  and move on to something else.. many times when you run the math consider the risks of a partnership.. the sale of the land is far better than thinking your going to make some profit.. 

Of course, nothing is stopping you from selling Rental #1, paying taxes, and then taking your leftover after-tax profit and moving that into Rental #2. 

If you've lived in that house 2/5 years as your primary residence, you can also sell it tax free up to $250k single/$500k married-filing-jointly.