I have used a combination of debt and savings for down payments. 

The challenge is that Tampa only allows one ADU per lot, with a max of 950 sq ft of total livable area for that unit.That means I technically can’t create a second unit, but I can expand the existing ADU, as long as the combined upstairs + downstairs area stays under the 950 sq ft limit.Here’s where I’m stuck:- I could design it as an “extension” of the ADU (same address, one unit on paper) and just have a kitchenette downstairs instead of a full kitchen.- Each level could then be rented separately, similar to how people rent by room, but still under one ADU structure.My concern is the permitting process and cost.

It helps to understand how passive vs. non-passive income works, along with the different tax benefits and trade-offs of long-term vs. short-term rentals, especially when combined with your W-2 income.

I'm baffled now, especially since the weather we've had for the last 24 hours, combined with melting snow/ice, I thought for sure there would have been more water intruding.  

Dwelling Coverage = Anything that is permanently installed and services the structureThis bucket includes items that are:Built-in, hard-wired, or plumbed directly into the propertyRequired for the property to function as a habitable dwellingNot intended to move with the ownerExamples carriers consistently classify as Dwelling:Furnace, HVAC condenser/air handlerHot water heaterDuctworkElectrical panelsPlumbing systemsHard-wired appliances (dishwasher is usually in this group)Built-in microwave/vent hood comboCabinets and countertopsAttached light fixtures and ceiling fansWater softener (plumbed in = treated as part of structure 95 percent of the time)These are structural systems.

Start with the essentials, not the cosmetics.A rent-ready home needs working systems, not “wow” factors.Our checklist always starts with:• Plumbing function• Electrical safety• HVAC reliability• Roof conditionIf these aren’t right, nothing else matters.2.

I’d recommend targeting:DSCR ≥ 1.25 using conservative rentsRent comps confirmed by a local PM, not online estimatesAll-in ≤ 70% ARV if your goal is to recycle most of your capitalThat combination gives you the best odds of a clean take-out.4.

Make sure they’re a true lender (not a broker), request a clear term information with no surprise fees, confirm they regularly work with first-time flippers, and ask how their draw process functions.

Combined with them not abiding by their lease when it comes to evictions and their poor communication, you have a 3 strike PM.Were you aware of the difficulties in the Memphis market when you invested.  

If I had to choose, I’d lean toward appreciation and long-term stability over maximum cash flow, but ideally I’d find a combination of both.For lifestyle reasons, I’d love to be as close to Scottsdale as possible.