What surprises have you run into once the walls came down?

I've successfully worked with quite a few clients on acquiring LTRs in Surprise/the west valley. 

A lot of people are surprised that the irs and state takes 40%.

The change orders or surprises while flipping and of course timelines that expand. 

Now there have been challenges in my portfolio and with these properties, including two hurricances and 6 insurance claims ( still unsettled), but the upside and surprise growth is a great example of what investing in real estate can do.

The IRS actually has a Tax Withholding Estimator that’s really useful:  https://www.irs.gov/individuals/tax-withholding-estimator  It takes into account your income, dependents, deductions, and other variables to help you dial in the right amount of withholding — whether you want to avoid a surprise tax bill or maximize your take-home pay throughout the year. 

The best way I’ve found is to:Disclose as much as possible about the property and the borrower early onKeep communication open and consistent with the lenderPay attention to red flags—if a lender goes dark during the process or stops giving clear updates, that’s often a sign the deal is in troubleAt the end of the day, surprises still happen in this business, but having backup options and strong relationships with multiple lenders can make all the difference. 

Quote from @Syed Ahmed: Congrats on taking down your first fix and flip and pushing through the surprises that come with renovations That first project always teaches the most and it sounds like you are handling it well I work with a lending company and often see how creative financing helps investors get started with smaller down payments just like you did Feel free to connect if you want to share more ideasThank you! 

Another surprising change is that you can no longer charge security deposits unless you're using an AirBNB approved, API connected property management system.

• Any surprises regarding membership eligibility, membership application, or underwriting hurdles?