The answer to every tax question is "it depends" ha!

I have decent W2 income and I plan to continue working for at least 5-10 years.

It may also be worth noting that this house is over 100 years old(but recently renovated) and in a lower income/higher crime part of Atlanta.

If I rent it, it won't cash flow more than 2%, which is sort of ok as my goals is creating a portfolio of additional income for retirement (12 years from now)  If I sell it I will likley lose a little money ($5-$10k) I Used a VA loan to purchase zero down and will be living in it for 24 months while I do the rehab.purchase price $330K, rehab $15k, Estimated ARV is $370k.  

@Kris VillasenorTalk to a lender and figure out what you can afford with your debt to income ratio. 

Hi Ali, The good news is because you have experience there are loan products designed especially for investors that require NO personal income or tax returns.

We will lose the homestead and that will cause a re-assesment and explode our property tax, but it is what it is.  

If my income stays the same, to which it wont.

There is a safe harbor for you…it’s just 110% of prior year since you’re over the $150,000 AGI.You can also base on 90% of current year’s taxes to avoid the underpayment of estimated tax penalty.Keep in mind you can use Form 2210 along with your return to show the IRS how much income you earned by quarter and make your estimated tax payments accordingly.

These are some of the ways the clients could be affected by property managers who are not prepared: Extended VacanciesInadequate marketing strategies and tenant screening processes can result in prolonged vacancy periods, translating into substantial lost rental income.High tenant turnover due to poor resident relations further exacerbates vacancy losses.Inadequate Maintenance and RepairsNeglecting preventive maintenance and delaying necessary repairs can lead to accelerated property deterioration and higher long-term repair costs.This can also negatively impact tenant satisfaction, contributing to higher turnover rates.Legal and Compliance IssuesLack of knowledge or disregard for landlord-tenant laws and regulations can expose investors to costly legal disputes and penalties.Failure to properly handle security deposits, evictions, or fair housing practices can result in significant financial liabilities.Ineffective Financial ManagementInaccurate budgeting, expense tracking, and financial reporting can lead to uninformed decision-making and missed opportunities for cost savings.Failure to optimize tax strategies and leverage available deductions can further reduce net returns.Diminished Property ValueInadequate maintenance, high vacancy rates, and poor tenant screening can negatively impact a property’s perceived value and appreciation potential.This can significantly affect the long-term return on investment when it comes time to sell the asset.While a 10% management fee may seem reasonable for a well-performing property manager, the cumulative impact of mismanagement can quickly escalate the effective cost to investors, potentially outweighing any perceived savings on the management fee itself.