A good PM can not operate profitable below 8% (or by charging you excess fees to make up for it).

It would be illogical to just make up a bunch of stuff that doesn't exist for no apparent reason.

Let's make up a scenario:$150k purchase$200k all-in$250k ARV$2k rent40% expenses6.5% interest rate 30 year amortThat would give you $24k in rent per year, and $14,400 a year in NOI after all costs.

Indiana signed The Violence Against Women Act (VAWA) into law in 1994 which was groundbreaking legislation and addressed the issue of violence against women.

As a result, when the property is sold, depreciation recapture rules apply, potentially increasing your taxable gain.Additionally, the recent increase in the State and Local Tax (SALT) deduction cap is currently set to remain in effect through 2030, unless modified by future legislation. 

But my impression like Tony's is that the true breadth and depth of the OP Zone legislation isn't all ironed out yet.In any event though - No it is not normal for you to be able to 1031 into a real estate fund @Brian M. 

Read more at https://grocapitus.com/testimo... and make up your own mind.

For me, it’s easier to make up the difference by having a fuller calendar rather than playing around with exact fee offsets.I’d rather price competitively so I stay attractive in search results and let volume carry the revenue.

However, where you can make up some of that difference is doing the property management yourself, and doing any repair work yourself.

It sounds like though you've got some math to do to see if the extra cost makes sense and potentially reduced cash flow (if you cannot get your tenants to make up for the difference)