Understanding the risks associated with any investment, being prepared for the worst possible outcome, and having a plan for when an investment doesn't perform as expected is essential.

So everything hinges on appreciation, which could come back with inflation.Primary residences are often not good rental assets.

Hi Jasmine-Congratulations on being ready to turn your primary residence into a rental.Your question is should you use a property manager or self-manage your property.If there is enough positive cashflow or you can afford to pay a property manager, I always recommend doing so for the following reasons:1.

Do you have other collateral, such as another income property or your personal residence (last resort) your seller could record their lien against? 

We approach each eviction the same way and have our playbook every time a resident gets behind on rent. 

I could be wrong but I thought I saw that Sacramento requires primary residence for the owner for STR.Do you live in Sacramento or nearby ?

The resident pays the second month on time and then, and only then, do they get the concession.If the market is soft, and we are having trouble renting, before we consider concessions, we look at the product, the marketing, and lastly the price.

Basically, you can't STR an entire home here, or even an ADU, and can only STR out a portion of a home that you reside in.

Quote from @Guillermo Perez: Can someone please let me know if this is ok for my first BRRRR.I got a $200k HELOC on my primary residence to help fund my first BRRRR.

Hey Nick, Middletown is a growing submarket between Cincinnati and Dayton, with around 50,000 residents and access to a metro area of over 3 million.