I completely agree with Alexander!

Looking for some insight on this unique situation - I tried to search for answers online and completely struck out.

Sure, there is an acceleration clause to think about, but I have never run into any problems, and I don't know any investors who have ever run into trouble with the bank calling the loan due.LLCs are easy to set up, and I think it is good form to have one.Cheers, Josh You are simply trading one risk for another greater risk.

We just completed a total gut in the West end area and the total cost was 130K for a major rehab.  

So he sends me an email back this morning with the advice his attorney gave him and now I am completely stumped.. meaning I don't even know what to say back or how to reply to what he says here is the exact email he sent me this morning after speaking to his attorney, " Hello,I spoke with my attorney yesterday, and what you have presented would be a good idea if I was in financial trouble, or had a property I was unable to sell.

He seemed to think that it was likely the Council would not approve my application for the special use permit simply because they didn't have a plan in place to regulate STRs and wouldn't want to open that can of worms.Because we are not willing to do business in a city that cannot give us a license we sold the house and found one in the county that did have a process in place, and now we are approved and in business.Moral of the story is that just because a city does not have any restrictions against STRs does not mean that they actually have a process in place to license them.

Lol, I'm very methodical in my way of doing things- therefore, once I find a process that brings good results I will simply repeat that process for eternity :) 

Closed in October 2013 at $152,000Over the next few years, I made some additions and repairs (new bedroom, bathroom, and extra kitchen in the basement), and now got two housemates - completely covered my mortgage payments.2015 rolls around and I start studying real estate a little bit more.

For you first larger multi-family property, I would focus on areas that have proved to have rent stability, overall low capital improvement requirements, and a record of property appreciation over simply going for a property that gives you the largest forecast returns.  

I disagree completely that Houston will experience anything close to the population decline New Orleans saw after Katrina.