All expenses for that rental unit are now write offs when you file your taxes.

It all depends on how fast you can get them out!

As with most areas, the search for a vacation rental is typically dependent on permissibility of usages and the Oregon Coast is no exception when it comes to increasing barriers to entry of areas and properties that will allow nightly rentals. 

It really depends on your investment goals.

Depending on your credit history and reserve amount, some lenders may allow up to 85% financing on the purchase.        

There are 4 other key aspects to consider when analyzing deals and they are - tax savings, principal paydown/equity building, appreciation, and inflation hedging. 

This deal is based off a real tax deed auction property in FL:1912 Sq ft 3/2 SFH in Bay County- ARV: $415,101- Estimated Monthly Rent $2,984- based off 6 comps within a 1 Mi radius.- Adjusted Purchase Price/ Max Bid: $210,840.80- I start with the 1% rule (thus why I start the analysis by looking at rent) and then adjust the price based on the potential pay-out from a cash-out refi and equity position on the property- more on this in a second. - Potential Investor payout (15%): $242,466 - Rehab total: $76,480.00- I just used $40/ sqft for an estimate.

All your full documentation information (IRS taxes net and bank assets) are input and approval is a program, generally no exceptions to their rules.

That got me onto the tax lien / deed sales - which I then listed to 39 with Seth Williams.

If you have reserves, can you invest the money that provides a better NET return (after tax) than putting it into the down payment3.