Purchase price: $443,000 Cash invested: $60,000 I've included the mortgage, a 5% rental vacancy rate, and a 5% capex reserve.

Purchase price: $136,000 Cash invested: $10,200 Small house with detached ADU in backyard.

Hello Team,Currently I purchase distressed properties, flip and resale. 

I've purchased two properties personally utilizing seller financing and represented at least a handful of buyers acquire properties with private mortgages over the past five years including friends and family members.

I'm considering the purchase of a large home and converting it into a 4 or 5plex for Senior Independent Living with some amenities.

I am risk averse and if I were to purchase, I would tear down to the studs and do a full rehab {this would include getting rid of asbestos shingles and insulation).1) I have done a ton of research and it appears as if getting rid of asbestos is very DIY able assuming you spend money on the safety equipment and use it properly. 

Also people who make money by having people purchase STRs have vested interest in under representing the associated risks.  

For 2024, I will have a significantly higher W-2 income (600k) due to unplanned stock option income (company I work for was purchased). 

If this is the case then I don’t owe capital gain taxes because I paid more to purchase and renovate the LA property than what I didn’t spend in the 1031 exchange?

You can move on from there and purchase a SFH if you don't like sharing a MF.