The new investment earns $24,000 a year, but the mortgage + the equity loan cost will be $22,332—and that’s before you account for taxes, insurance, maintenance, capital expenditures, vacancies, etc.

Our West coast projects we have to hunt for indian burial grounds ( this is CA specific) on one project we found one .

I’m moving out of the house soon and will be living rent-free with my wife at my parents' place in the Bay Area due to some recent life changes.Here’s a breakdown of my situation:Location: Sacramento, CA (4 bed, 2 bath, recently renovated)Current mortgage payment: $3,940/month (including escrow)Mortgage balance: $475,000Current home value: $515,000 - $535,000 (based on comps)Rental estimate: Property management companies are quoting $2,600/month (with fridge/washer/dryer included), but some websites suggest it could go for up to $3,000/month.Planned budget:$540/month for capital expenditures and maintenance$100/month for lawn careTenant to cover utilities (gas, electricity, water)7.5% vacancy rateWe bought the house thinking it would be our forever home, but with our current situation, I’m trying to figure out the best long-term plan.

Specifically, if forced to sell now it would be a total loss of capital for both Class A and Class B.Replacing Rate Caps: Our rate cap is expiring this year, and the projected replacement cost is $736k.Resuming Renovations: Given rising inflation and labor costs, our capital expenditure exceeded initial underwriting.

These are expenses incurred before your business is active, and they typically aren’t immediately deductible in full, as they are considered part of starting the business rather than ongoing operational costs.To provide more detail, according to IRS rules (as seen in the screenshot), you can deduct the lesser of $5,000 or your total startup expenditures.

It's not really a new person thing IMO, but something that requires less capital expenditure.

Whatever you think is a deal is going to look like it's good cash flow and have huge capital expenditures.

Considering a PM company's main objective should be to represent the landlord's best interests, some expenditures might seem questionable and could have been avoided.- It seems that their prices are substantially higher than what would normally be charged for the same services.

While renovations and other expenditures can be capitalized (and in some scenarios deducted) when you classify property as a rental, that might not be a significant impact if you intend to sell the property soon and can qualify for the 2 out of 5 year deduction for primary residences. 

But right now, a cash flow market as a small deal will likely be in a C to D area with capital expenditures and more volatile renters.