I recently purchased a property in Cleveland.

I've had a conundrum the last few years since I bought my first primary residence, I was lucky to get a good interest rate <5% When I purchased this property I was very green and new to real estate but I had heard or seen somewhere on some financial blog or podcast that if you pay an extra $100/mo toward your mortgage in many cases you can accelerate your payoff date 5+ years.

Bonus depreciation is just a special part of the US tax code.It allows you to take accelerated depreciation on portions of your property depending on when an asset is put into service.At the time of this writing, you can write off a huge portion (60% in 2024) of many qualified components that have a useful lifespan of 15 years or less.That means a certain percentage of things like landscaping, sidewalks, latches, appliances, fences, certain flooring, etc is depreciable in year 1.The bonus depreciation rate percentage changes yearly depending on the administration and the tax code.For years 2015 through 2017 first-year depreciation for all the items on a 15-year schedule or less was set to 50%.It was scheduled to go down to 40% in 2018 and 30% in 2019 and then 0% in 2020.But then Trump got elected, and he enacted the Tax Cuts and Jobs Act.That moved the bonus depreciation percentage to 100% from 2017 to 2022.In 2023 it went down to 80% and it’s currently at 60%.Depending on who gets elected again, 100% may be back on the table.Only time will tell.We know that the US government wants to incentivize more development and ownership of RE.They want Americans to continue to build and maintain our physical world.That’s why real estate is one of the most tax-advantaged assets in the US.Depreciation and bonus depreciation for RE are very positive and will likely continue in the years ahead.

not sure I know exactly what those mean yet except to say I'm looking for more long term equity to have better tenants/houses than better short term cash flow with lower tier properties.  

I would get with your property manager if you have one, or call one and offer a consultation fee for their time on how to go about structuring the invoice.

With election uncertainty and changing economic conditions, there is potential for further shifts in the market as we move into 2025​(Nest Realty)​(Garretts Realty).For those considering investing, it's worth noting that Louisville's rental market remains strong, particularly for multifamily properties, where rent prices have increased 5.1% year-over-year, outperforming national averages​(Nest Realty).Lot's of cool things happening in the area!

If I were you and could do a refinance and get all or most of my investment out of the property, I would hold on and wait for the market to come back next year.You can get up to 80% LTV on a DSCR Refinance.I assume you are using a Property Manager, I would take a little more control of my future tenants and call their previous landlord to see if they made any repairs to the property while they were there, how many time they were late on their rent, etc. 

So the enemy method is the way to get a good idea.Check AirBNB and VRBO and see what similar properties are doing in the area.Also, Louisville recently tightened up the rules around STRs so check with the city and make sure you are good to go for a particular property.

I was looking more into North Houston and saw a few properties in Spring, TX.

Purchase price: $470,000 Cash invested: $120,000 Sale price: $700,000 First property with a GC.