The main difference is the terms, DSCR terms are 15 and 30 years fixed and 30 and 40-year interest only options, there is more leniency as to Minimum Credit scores, Vacant units, and DSCR coverage.

For the analysis of an arbitrage option, as well as other short-term rental opportunities, it entails a deeper review that not only involves understanding various market factors, but also the investor's estrategy and situation.

Appreciate some feedback.I had a tenant, ironically also in Gaithersburg (hope it’s not the same person because she was a pain in the *** lol) but she wanted a new carpet we paid half, she paid her half via us uppping the rent $50 over what it otherwise would have been, so that’s always a creative option, however I wouldn’t want gas at my property if I could avoid it, always a risk of a leak or worse so I’d probably lean towards saying no to this specific request. 

I'm evaluating both options over a 10 year time period. 

As for the options, there are a few exit strategies, flip and sell, flip and sell turnkey, BRRRRIf I do end up joining, I will reply back with my experience!

Lease option is a viable way to *extend* your exit strategy, but the reality is that most lease options don't sell to the option buyer. 

On the bright side, HELOCs offer a lower down payment option and flexibility to access funds when needed.

I am trying to weigh all of my options, any advice or suggestions would be greatly appreciated for beginning my real estate investment path!

If you had no other option to schedule, due for example to these people's availability - then I'd say yes.

Thank you, the guidance is confusing in that it states you can still treat real estate as a trade or business if it does not meet the 4 bullet points for safe harbor.In my HR Block tax software there are two QBI options for rentals:  1) Treat rental under safe harbor rules or 2) This rental is eligible for QBI without safe harbor.