If I can add a garage or do some landscaping or have some appreciation to up the value while he's paying the expenses that's a bonus.

so i would only look at appreciation as a bonus not as a given on your model

And don't forget to snag a couple hundred dollars as a bonus if you do so.

We finished an upstairs bonus room to make it 2600 sq ft.

Bonus!

The problem is that our accountant is advising us to bonus ourselves and pay the taxes... advice??

@Mike Reynolds  I would not be surprised if GOVMIT came up with another GOZONE accelerated bonus depreciation play like they did for Katrina.. that really spurred new construction and rebuilding..  

I think what you are looking for is someone trained in the ways of real estate investing - an agent that will:Introduce you to FSBO's - Expired Listings and other real estate opportunitiesWill be your fiduciary representativeWill make offers for you on suitable real estateWho understands creative financing; delayed settlement, seller assisted financing, assignment, wholesaling, REO, tenant selection, soft money mortgages, tax salesWho will be responsive to your financial goals and a person of integrity and trustHelp with direct mail and street marketing to locate transactionsHousing and rent court marketingAbsolute aware of financial and contract clauses as well as contract engineeringCan assist in - delayed settlement - automatic extension, performance mortgages, subordination, principal mortgages, options and joint venturesAware of bidding on REO, forclosures, tax sales and public auctionsUp to speed on commercial real estate, lots and land as well as businesses with real estateHow should you treat this wonderful person (if you can find one) -They should have a commitment from in the form of a Fiduciary Buyers Brokers AgreementYour agreement to pay them a commission on any non-listed deals they bring youA bonus agreement for great deals that you closeA gas budget - or a cash payment for gas Kind words and respectTo be sincere and active with the agentRespect from youFirst class training on how to represent youSometimes an equity interest in the great deals the agent has initiatedListings when you are ready to sellYour cooperation - all your financials, tax returns and other information that will help your agent close dealsA few free lunches ----Good luck --- Charles

Our contractor earns 15% plus an additional 5% bonus if the property sells for 40% or more of the amount invested.

@Shawn AckermanIt's hard to say for certain, though I do think of the midwest cities as cash flow markets primarily with any appreciation being a bonus.