When looking for your second property, I’d focus on:Performance over location loyalty — even if Evansville has treated you well, always run fresh numbers to make sure deals still cash flow with current prices, rents, and expenses.Diversification — if your first property is a duplex, consider whether another small multi, a single-family rental, or even a different tenant class would balance your portfolio and risk.Tenant demand & turnover trends — check rent growth, vacancy rates, and neighborhood changes before committing.I work exclusively in the Memphis, TN market, and many investors who start in one city (like Evansville) end up adding Memphis to their portfolio for the strong rent-to-price ratios, steady tenant demand, and landlord-friendly environment.If you ever decide to explore out-of-state options, I can share what returns typically look like here and connect you with trusted local resources so you’re set up with the right team from day one.

Sober living homes typically require certain amenities, such as furnished living spaces, common areas, and kitchen facilities.

Property Condition & Amenities: it’s important to, “Maintain to the Neighborhood.”Key metrics for each Property Class:Class A Properties:Tenant Pool: Majority of FICO scores 680+, no convictions/evictions in last 7 years.Tenant Default: 0-5% probability of eviction or early lease termination.Section 8: Class A rents are too high and won’t be approved.Vacancies: 5-10%, depending on market conditions.Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Class B Properties:Tenant Pool: Majority of FICO scores 620-680, some blemishes, no convictions/evictions in last 5 years.Tenant Default: 5-10% probability of eviction or early lease termination.Vacancies: 10-15%, depending on market conditions.Cashflow vs Appreciation: Typically, 1-3 years for positive cashflow, balanced amounts of relative rent & value appreciation.Section 8: Class B rents are usually too high for the Section 8 program.Class C Properties:Tenant Pool: Majority of FICO scores 560-620, many blemishes, but should have no convictions/evictions in last 3 years.

Is this rate typical?

This new build now cash-flows with less money down than typical or, as a flip it makes six figures.The reason why this works: In Boise, building lots are selling for minimum $150k to builders, and up to $350k+ depending on location.

Typically the seller would have a note and deed of trust on the property.You make the agreed payments to whomever is servicing the note.Its the same as getting a traditional loan, just the holder of the note happens to be the seller.If you make payments on time you will not have an issue.

If it is truly a commercial mixed-use building, 65-70 LTV is the typical range for an asset type like this. 

It’s a non-cash expense that reduces taxable income from rental operations.Consider Entity Structuring Later (Not Now):For your first rentals, it's typically better to hold them in your personal name to qualify for better mortgage terms.

Realize value adds typically require work and have risk   - use a rent model other than traditional LTR.  

@Justin Unck The IRS defines a “day” as a full calendar day, midnight to midnight, so an overnight stay typically counts as two rental days (e.g., Friday and Saturday if guests stay Friday night through Sunday morning).