We carry a partial contract on my husbands property and it's worked nicely without the headache of renting.

Whether you're looking to continue generating income or upgrade to meet market rents, this well-maintained property offers both flexibility and value.

It allows a substantial portion of the asset's cost to be deducted in the first year of service.In 2023, the bonus depreciation rate is 80%.In 2024, it decreases to 60%.In 2025, the rate further reduces to 40%.COST SEGREGATION:Cost segregation involves dividing a property into its individual components for tax purposes.Some parts age faster, like carpets or paint.Your CPA can use this info to more accurately depreciate elements of your property leading to potential tax savings.BASIS:Your basis is the initial price that you paid for your property, including any expenses or improvements.Knowing your basis is crucial for tax purposes, as it's used to evaluate depreciation & determine the capital gains or losses if/when your property sells.LAND VALUE:This is how much your land is worth without any buildings or improvements.Land doesn't get old like buildings, so you can't depreciate it.

You just filled in and registered to the country clerk.Title companies won't accept to transfer the property without using a warranty deed, because they can't insure the title, but that will come when your parents sell the property and at that moment your parents will create a warranty deed to the new owners.

You run the risk of the IRS classifying the property as 'personal use' if you rent the property for a lot less than FMV.

I've always been a bit of a "job hopper" and have worked in several different industries over the years (eg. healthcare, insurance, bartending, audio engineering, project management, adult corrections, and other security work).

I would recommend getting the nicest property you can for a reasonable price.

Also, financing for 1-4 unit properties is heavily competitive vs looking for financing for 5+ unit properties.

With the exception of finding the tenants (I use an agent) I manage all maintenance aspects of the property but am coming to a point where I might want to move on and considering doing a 1031 exchange to of course avoid Cap Gains and invest in another property closer to my primary residence.

Here’s why you should consider investing in this growing market:Affordable LandFlorence offers affordable land compared to larger markets, allowing investors to secure property at lower prices with strong potential for appreciation as the area develops.High Demand for New HomesThe city’s growing population is driving demand for new construction.