Some traditional banks simply can’t move fast enough within identification/closing windows, which is why many exchangers end up outside the big banks even if rates look better on paper.If your rentals are paid off, LTV discipline becomes your biggest lever — keeping leverage conservative often gives you better execution and fewer lender headaches than chasing the absolute lowest rate.One thing to watch closely: some “cheap” options limit property types or replacement structures, which can accidentally disqualify a 1031 if you’re not careful.My general takeaway: focus less on headline closing costs and more on certainty of close + flexibility, especially on your first exchange.

Having been through many different investing strategies and cycles over the years, I’ve found that adapting structure and staying disciplined with underwriting allows you to keep moving forward, even as conditions change.

For long-term holds, we structure debt with survivability first, optimization second.A few core principles we follow:1.

In both my own investments and the cost seg studies I’ve reviewed for clients and borrowers, properties in this price range typically see 20%–30% of the structure reclassified into 5-, 7-, and 15-year property.That positions you for roughly $50K–$80K of bonus-eligible depreciation in Year 1.Your actual tax savings depend on your bracket, but here’s a realistic range based on what I’ve seen:• At 24%: around $12K• At 32%: about $18K–$22K• At 35%–37%: closer to $28K–$30KIn every STR acquisition I’ve analyzed—whether for my own deals or clients I help finance—the outcome is consistent: when you qualify as a Real Estate Professional and meet material participation, it’s very common to walk away with five-figure tax savings in Year 1, often $15K–$30K+. 

Even without being local, you can learn a lot by how structured and transparent they are during the first few conversations. 

Always good to have more capital-side perspectives in here.One thing I’ve seen consistently as portfolios scale is that deal structure and operational clarity matter just as much as the numbers.

The HUD “95% rule” lets you structure an offer around 95% of the appraised value on distressed properties.

When structured properly, rentals can become a powerful part of an overall tax and wealth strategy, not just a cash-flow play.

Question: When you were starting out or see other recent investors do, what mattered most in enabling you to grow beyond your first property - market choice, deal structure, financing relationships, or operations?

Lease Structure MattersStrongly recommend:Long initial term (7–10 years)Personal guarantees, especially if they’re a new practiceClear language on who owns improvements at lease endTriple-net or modified gross to avoid surprise expenses4.