How can we best protect ourselves from potential retaliation and property damage?

We could build larger, but there will be less Buyers and the home can potentially sit for longer and holding costs get expensive.Not saying building larger is wrong, but just giving you our reasoning for our home size.But I do 100% agree with you. 

NJ is a big one—places like Newark, Paterson, or even smaller towns have better cash flow potential.

That's 50k a year gone and you are losing tax write-offs and equity potential.

Although there is potential profit in this kind of profit, there is also more risk associated as the repair costs can pile up quickly and create a scenario where you have invested more into the property than the repaired property would actually be worth. 

Potential cash flow How did you find this deal and how did you negotiate it?

multifamily and single family both have potential value.

EDUCATE YOURSELF - yes, it will take time, but will lead to a selection that better meets your expectations & avoids potentially costly surprises!

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., known for its upscale appeal and strong demand for vacation homes.Properties in the Hamptons attract affluent buyers and renters, offering a high potential for appreciation and steady rental income.he property may have been undervalued due to its condition, presenting an opportunity to add value through targeted renovations.