However, it's important to note that forming an LLC doesn't guarantee full protection, and it's crucial to comply with legal requirements and manage the entity properly.

It still carries interest rate risk, but doesn’t have the yield maintenance risk found in fixed-rate loans.  

Insurance, taxes, utilities, and maintenance costs are all going up and this helps your tenant remember that houses have to be maintained.If you renovate one side and rent it for $400 more, then I recommend you renovate the other side and increase rent on that as soon as possible.

Upon default, our deed of trust specifically allows us to require the borrower to prepay into an account to cover insurance, taxes, or any other unpaid obligations.

(2) I have a Section 8 applicant and know that I am required to include them in the applicant pool, are the laws around do I have to prioritize section 8 tenant?

Right now we require two incomes in order to afford the mortgage and looking to downgrade/rent for a while and be a single income household so wouldnt be able to pay the mortgage for the house unless its being consistently rented on FF.

As such, there are strict requirements that Hawaii State Law Quiet Hours must be observed outside the home past 9:30 PM (feel free to go snuggle up with some popcorn in the 16-seater movie room!).

This type of financing will typically look very different and more like a traditional commercial real estate loan.That means a DSCR calculated based on a full NOI and expense load (so inclusive of vacancy loss estimates, credit loss estimates, repairs and maintenance, utilities, management fees and more – in addition to the property taxes and insurance expense that are the only expenses factored in on traditional residential style DSCR loan financing).Additionally, the DSCR minimums are generally going to be higher (typically up to 1.25x), the loan to value ratios lower (higher down payments) and underwrite more sophisticated (which makes sense considering the size and scope of the property).Many multifamily investors for properties of this size (such as more than 11 units) can syndicate capital and have more sophisticated financial and entity structures – its definitely a different world once you get up here in unit count.In Conclusion – when you are looking to invest in multifamily real estate and finance your investment – make sure you have the unit count in mind before you start shopping – the unit range can have a huge effect on your options.

I have a 13 year old son who requires that I throw and catch the football or shoot hoops.

I will start researching and talking to some lenders to see what their requirements are!