Slow selling season with minimal buyers on the island.FRankNice - just be careful with those shorter term fixed rate loans.

This really is one of the things that I wonder about when I read about guys who go the managed-turnkey route, many OOS doors, low cashflow for each, paying contractors for every fix.

Commercial rates are usually 5-7 year ARM, amortized over 20-25 years somewhere in the 6%+ range.I have also seen a few commercial lenders that offer a 30 year fixed program but the rate was over 7%.

I honestly dont see much appreciation on this house after fixing it up.

I was just talking to someone about the market there with how people who are doing fix and flips are seeing some real good returns and changing neighborhoods.

Are you looking at buy and hold, single family, multi unit or fix and flip?

Sure, it’s not a long term fix, and you may have to patch it up yearly, but I think $12/yr for a bag is a good investment. :)

In addition, the property after value add is likely to have initial cash flow and, if I am correct about the continuing rent appreciation, the cash flow will increase each year while my fixed financing is constant (a little variance due to escrow holding). 

If we live in the home while fixing it up and sell, what percentage would we have to pay to SC for short term capital gain?

I bought this house under my Llc in an Auction and I have been fixing it up my self.