I put together a 2026-focused tax strategy guide geared toward military investors (PCS, out-of-state ownership, high W-2 income, limited time).It covers:Buy-and-hold: depreciation + common deduction categoriesSTRs: the average-stay threshold + material participation concept (high-level)Flipping: why it’s often treated as active business incomeMultifamily: why cost segregation can matter more at scale1031: 45/180-day fundamentals + QI requirementQuestions for the group:For STR operators, what’s your system for tracking material participation hours without making life miserable?

Also depending on if the lender sells off the loans at closing to an investor pool for new cash for more loans (common in the DSCR space), then the investor pool is asking for higher rates to buy these lower balance loans.

Here are some things to keep in mind:1) Make sure you’re running truly conservative numbers - assume higher vacancies, real repair and CapEx costs, rising taxes and insurance, and rents that are realistic, not just what makes the deal look good on paper. 2) Take the time to learn local zoning, rent regulations, and code rules before you ever make an offer, especially around NYC where non-conforming or illegal units are super common and can completely derail a house hack.3) Talk to a few investor-savvy lenders early and really understand your low-down-payment options (FHA, conventional owner-occupied, grants, assistance programs) so financing doesn’t slow you down once you find a deal. 4) And finally, build relationships with an investor-friendly agent, a CPA who works with rentals, and ideally a mentor who’s just a few steps ahead of you.

It is luxury sized compared to their school housing situation.   3 br, 3 bathroom, ~1350’ small dedicated outdoor space and a nice common space for 4 people (rent is $4500 (Point Loma)).house hacking means you are not paying rent.  

Base rent might look reasonable but then you're hit with $15-20/sq ft in common area maintenance that keeps climbing.

• Common pitfalls or risks I should be watching for?

Cash flow tends to be higher in the cities where both SFH and MFH are common.

What you’re describing is common, and it usually comes down to how the screening data is sourced and verified.Not all background checks are the same.

I’ve struggled with this here, in coastal SC, where marsh rats and roof rats are a common problem.

In addition I found these common misconceptions by investors about purchasing existing notes 1.