A cosmetic rehab—new kitchen, flooring, bathroom, recessed lighting, and minor plumbing/electrical—costs me close to $30–35k for a 2-bed/1-bath apartment, and that’s considered cheap for many!

You will need to install outlets, switches, and lighting fixtures as needed,6.

Renovations included updated flooring, kitchen and bathroom remodels, modern fixtures, paint, and improved curb appeal.

To avoid depreciation recapture, you need to have corresponding items in the replacement property.Example: if the cabinetry and fixtures and other similar items are worth $20,000 today, you need $20,000 worth of similar items in the property you're buying in the exchange.

Give options without pressure (fund full deal or just fill a gap) and promise weekly photo updates until refi.For contractors: start with light rehab (paint, floors, fixtures) to test the relationship.

Just to change a lightbulb you have to send out a qualified person on a w2 salary with benefits in a company vehicle, drive across town, find out it's a special light bulb, spend an hour going to the store, back to the unit (hopefully without having to reschedule for another day) and then install it.

Hey @Nick Dewberry, I’d recommend starting with a duplex or triplex, even if it’s a little cosmetic work; those small value-adds (paint, flooring, fixtures) go a long way in boosting both rent and property value. 

The financial viability of the strategy is maximized when a Cost Segregation Study can allocate a high percentage of the purchase price to short-life assets (like furniture and fixtures), leveraging the current 100% Bonus Depreciation to create a substantial "paper loss" in the first year.To use the 100% Bonus Depreciation against your 2025 W2 income, the STR and its eligible assets must be fully "placed in service" by December 31, 2025.

Quote from @Casey Eiland: I’m noticing an interesting shift here in Columbus:• Inventory is finally starting to loosen up• Sellers are getting more realistic with pricing• Rents are still holding strong in most sub-markets• Small multis (duplex–quad) seem to be sitting longer than last year• But good value-add stuff is getting snapped up fastFrom what I’m seeing, it feels like one of the better windows we’ve had in a while to pick up small multifamily, especially anything with below-market rents or light cosmetic rehab potential.Curious what others think, are you being more aggressive right now, or staying cautious until rates move?

We are considering either: A) House Hacking by purchasing a small multi-family property or SFH with ADU/DADU OR B) Purchasing a SFH and performing a light, live-in flip (small, cosmetic-type renovation to gain some reno experience).