.), income, cashflow, debt, DTI, equity, property appreciation, rent appreciation, mortgage paydown & amortization, rate of net worth growth, cost of living increases, hours worked per week, cash on hand, etc, etc. 

At your income rate your rental income could be tax free but not deductible against your regular income. 

We locked in our first guest for $2,600/month, so that is already more than the previous LTR rates combined.

Given these reasons, I'm assuming all improvements and spending should be deductible at the pro-rated amount. 

Rates are usually better with LLCs, and given the liability protection, LLCs are probably a better choice.

I am also wondering about vacancy rates in general in the Memphis area.

I could put a mortgage on the property, I was quoted 60% LTV with 8% rate amortized over 15 years.

Domicile: WA State (income tax free)Property location (Texas): (income tax free)LT gains + Depreciation recapture ~ $300k on a $500k income property ~effective / average tax rate = 12% for past umpteen yrs (relatively low income, avoiding IRMAA and doing Roth rolls (no 'realized' income, just transferring from tIRA to Roth = vast majority of annual MAGI income)In the end (coming soon, ~17 yrs) ALL remaining estate will go to charities / Charitable Foundation / DAF.

Rate caps are around 5-6 for 4-plexes in decent areas. 

I agree.I don't think the golf simulator will guarantee you extra income, bit the ADU would get rate extra cash.