If a contractor fails you: pause work, document defects, consult your contract/legal rights — and prepare how you’ll finish the job (either switch contractors or reduce scope).Use this story as a guide of “how to recover” (not just avoid mistakes).

A CPA might look at doing a cost segregation to accelerate depreciation, an installment sale to spread the gains over time, or structuring the sale as an asset versus stock sale to reduce taxes.

So, yes, that would reduce the amount of property eligible for the $250K exclusion. 

Removing the unnecessary standpipes reduced costs by $10,000 per building. 

In that case, you’ll have the opportunity to strategize and deduct expenses like mortgage interest, property taxes, repairs, management fees, and depreciation, often reducing your taxable income significantly.

Here’s the listing:--> https://www.zillow.com/homedetails/398-402-Boston-Post-Rd-Wa... price: $350,000My plan:Live in the smaller homeRent the larger home immediately (after light cosmetic work)Use FHA (3.5% down) + CHFA (down payment assistance)Reduce my personal housing cost as much as possibleSlowly fix my unit over timeBuild equity and eventually refinance to help fund a future businessNUMBERSPurchase Price Target:Offer target: $260,000Expected seller counter: $275,000–$300,000Currently listed at: $350,000FINANCING (FHA + CHFA)FHA 3.5% downDown payment covered by CHFA assistance programEstimated interest rate: ~6.5–7%MONTHLY PAYMENT ESTIMATES (P&I + Taxes + Insurance)At $275,000 purchase:Mortgage (P&I): ~$1,775Taxes: ~$420Insurance: ~$150--> Estimated Total: ~$2,350/monthAt $300,000 purchase:Mortgage (P&I): ~$1,940Taxes: ~$420Insurance: ~$150--> Estimated Total: ~$2,510/monthRENTAL INCOME ESTIMATE (Big House)Based on local comps:Low: $1,700/monthTypical: $1,800–$1,950/monthStrong (clean/paint/update): $2,000–$2,100/monthMY OUT-OF-POCKET HOUSING COST AFTER RENTIf I rent the big house at $1,900/month:At $275k: ~$450/monthAt $300k: ~$610/monthIf I rent at $2,000/month:At $275k: ~$350/monthAt $300k: ~$510/month(I currently pay $0 in rent living with family, so my goal is to keep my costs low while building equity.)REHAB ESTIMATESBig House (rent-ready):Cleaning + paint + small fixes: $1,000–$3,500Optional cosmetic upgrades: $2,000–$5,000Small House (my unit):Cosmetic repairs only: $500–$3,000Optional improvements (done slowly): $2,000–$7,000Major systems (worst-case ranges):Roof: $8k–$12kBoiler: $4k–$8kElectrical panel: $1,500–$4,000Plumbing repairs: $500–$2,000 typical(Inspection will tell me more.)CASH NEEDED TO CLOSEWith CHFA:Down payment: $0 out of pocketClosing costs: varies, but often reducedExpected out-of-pocket: $1,400–$1,800Inspection: $400–$600Appraisal: $500–$700MY FINANCIAL POSITION(To give you context for risk tolerance)Income: $5,000–$6,000/monthMonthly bills: ~$2,600Emergency fund: $10,000Credit: 717Access to 0% APR business credit card (likely $8k–$12k limit)Currently pay $0 rent (living with family)MY QUESTIONS FOR THE COMMUNITY1.)

Instead of reaching out randomly, set specific days and times to follow up, which can help reduce your anxiety about pestering them.

The second way to reduce costs is monthly mortgage payments.

While having principal paydown does reduce cash flow, you do get equity growth.

Winter definitely slows things down in many markets, especially in colder regions.A few strategies that have worked for me during the off-season include:Offering slightly reduced rent for longer lease terms (like 15 or 18 months) to avoid winter lease ends in the futureProviding flexible move-in dates or short-term leases that end in spring or summerIncluding small move-in perks like a rent credit or gift card to boost interest without reducing rent across the boardIncreasing marketing efforts and refreshing listings on listing platforms more frequently to stay visibleIt’s all about staying proactive and making your units stand out.