There are currently 23 states (as of last count a couple of weeks ago) that enforce this law.I know this because we just locked up 2,500 SFR's in your state (in Orlando, to be specific) that are past the redemption period (bank did not pay delinquent HOA dues), and the same law group that won the case in Nevada in front of Supreme Court (see link below) is handling the conversion into Warranty Deeds.

They do typically carry a slightly higher interest rate than conventional and often have a prepayment penalty.

Whats your current vacancy rate and longest tenancy in these areas?

Nobody with quality RE wants to give up super low interest rates. 

I want to take advantage of the 0% LTCG rate up to 90k-ish MFJ + standard deduction, but if I use all of my capital losses realized in 2022 against all of my income from 2022, I will show zero income.

Someone gets injured in the basement your home owners insurance probably will not cover it and the liability would be pushed back on you.Would suggest discuss the finish with a Licensed Contractor, Licensed Expeditor and maybe a zoning attorney in regards to adding a unit to current zoned two unit converting to a 3 unit.Also, when buying a two unit and converting it to a 3 Unit, read your documents with out knowledge of the conversion the bank holding your mortgage could call your mortgage.Let me know if you have any questions.RegardsJoe Scorese

I'm trying to do the same thing to my row house in Brookland DC, I was wondering how was your project going and what was the cost, I'll love to meetup with you one day to get any input, suggestions or recommendations you may have for me moving forward with my basement conversion project. 

As you said, finding profitable investment properties is a challenge right now especially with interest rates at 7%-8%, and that challenge exists in many markets. 

My rate has jumped from 4% to 10% so it's hard to find something better than 10% to make it worth it.

However, she did warn me that both HELOC and DSCR rates are insanely high at the moment, but she said that it's a possibility if I can make the payments.