., to 2.5x or 2.75x) since tenants won’t have additional out-of-pocket utility costs.

Your cost basis would be ALMOST zero if you ever sold.

Selling and buying something else you want keep and doing a cost seg in would help with the tax burden probably better in this situation.

@Tom OchiengI would reach out to a real estate attorney for specific advice on this situation since you already have one tenant who is being difficult.On a side note, when I have inherited tenants, I have been most successful when I have provided longer non-renewal notices, like 60-90 days, and offered to assist with moving costs.

Kudos to you for doing something to create a secondary income stream. there are 5 income streams in RE rentals, possibly six if you do things a certain way.The reality here is your model (buy box) is suffering from too high an entry and too high a cost of capital.

When they create costs they have to cover those costs.

A good baseline is to calculate material costs (e.g., $300 for paint and supplies) and add a fair hourly rate for labor.

I live in California, this is a bay area property.were not looking to move out of state and house hacking is less palatable when a duplex costs 1.6 million.

Vendors who partner with Costco pay for market exposure and referrals, which often adds to the final cost passed on to the customer.

If private companies continue to provide the insurance, I suspect we will see further increased premium costs which will need to be reflected in the rents tenants pay (all tenants: LTR, MTR, STR).