They want contemporaneous records—evidence created at the time the work was performed.What real documentation looks like:• Time logs showing date, specific task, and hours (kept weekly, not recreated at tax time)• Receipts for cleaning supplies purchased the same day your log shows cleaning work• Calendar entries blocking time for maintenance with notes on what was done• Text messages or emails showing you personally handled guest issues• Photos documenting before/after repair work with timestampsThe extreme but effective approach?

You’ll want to speak to a cpa on this but if you received any money at closing on the 1031 properties, that’d be considered boot.When you do a 1031 exchange, the basis in your new property is effectively deferred.

That said, understanding the basics of property management still helps you set expectations and spot whether your PM is doing things effectively.

I’m working on getting my first doors under management and would love to hear from others about what worked best for them in the early days. Was it networking, direct outreach, referrals, or something else entirely?

With any partnership, substantial economic effect is going to come into play here.

Being able to purchase a property with only 5% down means you can leverage your money way more effectively.

Based on our experience and analysis, the most cost-effective and straightforward approach is to start with a basic QuickBooks Online (QBO).

Regular updates and open lines of communication can prevent issues from escalating.By setting up a structured system and fostering strong local relationships, you can effectively manage your out-of-state investment while ensuring it remains a profitable venture.

Scope of improvements included:Full interior updates: new flooring, interior paint, lighting, granite countertops, and updated appliancesAddition of high-demand short-term rental amenities: game rooms, custom bunk beds, hot tubs, swimming pools, and putting greensProfessional interior design and full furnishing to optimize guest experience and nightly ratesThese improvements were executed with the objective of maximizing long-term performance, increasing appraised value, and creating differentiated offerings within the Hot Springs vacation rental market.Refinance & Financial PerformanceUpon completion of renovations, we partnered with a local commercial lender to refinance the portfolio.Combined appraised value (ARV): $2,601,000Approved loan amount: $2,200,000 (cash-out refinance)After retiring the hard money loan, the transaction resulted in a net cash return of $300,470.51, which represents $118,181.09 more than our original down payment—effectively removing all invested capital from the project.TimelineThe full cycle—from acquisition through renovation and refinance—was completed in 174 days.OutcomeThe result is a portfolio of three fully renovated, amenity-rich lakefront properties, each now positioned to perform as premium short-term rentals with strong long-term appreciation potential.

Especially with Black Friday sales already in effect.