That said, since the beneficiaries of the restriction are the owners, you could go to them individually and have them sign a waiver re the provision.

In the third year, nobody really seemed to care anymore, unless they needed flood insurance, in which case they only cared about the extra money they had to spend.If you want to see some rehab numbers on the two flood houses I've done, check out Houses #19 and 35.

The reason is there will be rehab and extra time and energy for the return spent and also no income coming in.Even if you go 60% costs the numbers still work at the purchase price.

Has anyone on here ever added extra income or not deducted all eligible expenses in order to show more income on your schedule E?

The other thing you can ask for is a cosigner from someone with better credit.Usually they move on to another landlord with lower standards but I have people jump through my hoops and with the extra "skin in the game" they have been better than average tenants.

I think I have seen a Property Ladder (TLC Show) where 3 guys tried to do this and only one ended up doing any work and completed the flip without the others who went back to their day jobs.It can work but obviously depends on each individuals committment and how they work with each other.

This is because when you sell you will have to decrease the basis by the depreciation you have taken or were allowed to take.Some individuals will not take depreciation but then when they sell the property they make an adjustment to account for the depreciation in the final year.

The whole inspection, approval, HUD paperwork process can take a month or two depending on the individual office workload.

Obviously, individual neighborhoods will have different rates of change, but this is a good general overview of what's been happening here.

Eventually the goal is to move to New York City, where I'm hoping to buy a 3-4 unit multiplex or multifamily home, keep one unit for myself, renovate the whole thing, and use the rental income to pay the mortgage, and maybe a little bit extra.