It’s costing you thousands of dollars post-tax plus wrecking your DTI. 3) sell your current home tax free and buy a duplex or fourplex.4) AGAIN: figure out the ownership structure and the breakup structure.

@Barbara BertaDoing a 30 min. consult with a Real Estate Attorney will probably be well worth the cost.  

That's three months of mortgage and utilities, the cost of flooring, and the cost of painting.

CPAs seem to be very expensive costing thousands of dollars!

EDUCATE YOURSELF - yes, it will take time, but will lead to a selection that better meets your expectations & avoids potentially costly surprises!

Here are the details at a high level:Purchase price: 174,000Closing costs: 2,000Down payment: 20%Rental income: 1525Monthly expenses: 487 (insurance + tax)Maintenance: 128 (1% of purchase price)10% vacancy: 150Self-managingI am not sure what interest rate to use to get the monthly mortgage amount.

Another option is to raise private money loans for the downpayment and set-up costs of a STR.Above all I would make sure the neighborhood can support two STR.

I like the idea of renting if you can keep it low cost.

Pros I can think of: - higher rent rates (renting by the room) - saving cost and time on upgrade - easier advertising Cons I can think of: - high turnovers  - limited screening - possible wear and tear  

The cost was the cost and the contractor let me chose to permit or not to permit.