Either strategies can work.Keep in mind:- Risk tolerances- Market appreciation- Tax benefits- Managing from afar or close by- Expertise- Time available to dedicate to projects

Why pay more in taxes than you have to pay.

So they use the Interest, Taxes & Insurance payment to qualify the DSCR ratio.

I have extensive experience with the following asset classes: SFH, duplexes, multi-family, mobile home communities, land, tax sales, & STR's.  

My loan payment including taxes and insurance would be about $760.

Current first $2100 + if you max the HELOC at max rate say it's 22% and it's 15 year $3812 = $5912 I guess tax and insurance are included in the first?

Are there any tax benefits to “renting” one of the rooms to your young adult kid? 

So typically no problems with those guest, and those that are not repeat, if something happens I don't like, I put them on the do not rent list and move on.I have been doing this for about 6 years now, and we have had some issues with guests, but the reality is those big problems are few and far between, and the big problems are generally not all that big, but just seem so at the time because you are so ticked off about it.Direct booking does create additional work as now I have to collect and remit taxes, and handle payment processing.  

The funds have to all be used anything left over is considered the "boot" and can be taxed. 

Is your DSCR ratio greater than 1-meaning are you cash flowing (according to the lender's criteria of mortgage, property taxes and insurance (and HOA) if applicable).