Purchase price: $40,000 Cash invested: $30,000 Great BRRRR property, originally a 3/1 converted to a 4/2.

Equity, because it isn't liquid, has only a linear return...unless it is strategically (as in timing) converted to liquid.If a property has negative CF, it is losing an exponential return...not just the face value that is negative...and it is eating into any gains from appreciation.Truth is, one without the other is not good either.

But I read an article somewhere that a primary residence converted to a rental property can benefit from both 500k capital gains exclusion as well as 1031 exchange.

Can I convert the property into an S-Corp and retrieve my equity and set a higher cost basis. 

@Douglas SpenceGetting things up to date will help, painting is the greatest return for DIY in my opinion, but adding square footage, converting a bedroom or bathroom really raises the appraisal up, otherwise you’re squeezing to get that high price per square foot with what you have, but limited to the comps in your area, which are often slim with MFHs.

I am looking to buy an old commercial building in a very small town (750 people) and convert into 7 units here are the numbers:$55,000 purchase$100,000 renovation$15,000 hard money interestProperty management: 7.5% plus 25% of 1 months rent for each lease renewal annually.Rent: $625 per unit with utilities included ($4375 total)$20,000 annual utilities + lawn care/snow removal $3000 annual cost for turnover and repairs$2000 property taxes Thoughts?

I have three 2 bed / 2 bath units that we're looking to convert into short term rentals.

I'll start:Flips: -2 done and in escrow (both in Reno)-2 in rehab (1 in NW Reno, 1 in Gardnerville)-1 in escrow to buy (Reno)Rentals: -4 unit we will start rehabbing shortly (downtown Reno)-SFR near the university in rehab (converting to 6bd/3ba to rent by the room)Development: -Parcel in Midtown closing Tuesday to build 2 townhomes on. 

. * Vision: Convert Units 2 -4 into 2 bedrooms and 1 bath.

It seems to be an old 3-story single-family that was converted to have 3 units, 1 unit per floor.