Sometimes the impact is the real profit.👇 Got a similar story or pivot moment?

While the interest rate would increase with a new loan, lowering the loan amount through the equity gift could offset some of that impact.

It is worth seeing how this boring deal impacts the rest of your portfolio.Remember, looks like 100% bonus depreciation will be reinstated this year. 

Given that taxes are a high % of operating expenses and could impact cash flow for the property, it sounds like the process is an afterthought since 1. the burden of proof is high?

Given the location and visibility, this does sound like it would be more appealing for low impact commercial uses like professional services, boutique retail, small offices, that kind of thing.

However, fresh paint and contemporary light fixtures can truly make a significant impact!

The other 2 being still being able to take advantage of tax benefits by materially participating, and having an option with lower impact on cashflow. 

A couple developers we work with skip LIHTC and the tax credits and go the route of impact funds to help alongside other debt and sometimes equity. 

Having strong protocols and communication systems can help reduce the impact, but it’s definitely part of the reality.Another major challenge, especially in the short-term rental (STR) space, is dealing with property damages caused by weather or guests—and sometimes even neighbors.

There will be many LL on thin margins that the insurance increase will significantly impact their investment.