There are many ways to go about this, but one of the cheapest is to look on Google maps for buildings that look like 4-plexes.

Let's break it down with precision:The "Pain" (At First Glance):Your $2.8M sale splits out as:Building (§1250): $2.3MPersonal Property (§1245): $500KOriginal Basis Allocation:Building: $1.6M (depreciated over 27.5 years)Personal Property: $400K (fully depreciated)Building Depreciation:Annual: $1.6M ÷ 27.5 = $58,182Total over 10 years: $581,820Gain Breakdown:Building (§1250):Sale Price: $2,300,000Original Basis: $1,600,000Less Depreciation: ($581,820)Adjusted Basis: $1,018,180Total Gain: $1,281,820Unrecaptured §1250: $581,820 (25% max rate)Capital Gain: $700,000 (20% max rate)Personal Property (§1245):Sale Price: $500,000Adjusted Basis: $0Ordinary Income: $500,000The Strategic Play:Remember those suspended passive losses you couldn't use?

I'm currently planning to purchase a commercial multifamily building in Chicago with the proceeds of a 1031 exchange.

Get a overall monthly rate for building that does not change and include in rent. using a 60 percent ocupancy rate splitting cost  for tenants!

However, just get in, see where you fit, and build over a decent pace where down the line you will be doing great.

Hey David, you should consider investing long distance only if you're willing to put in the legwork of market research and networking to build a strong team of property managers, contractors, and deal finders.

We develop, build, and manage Class B multifamily projects in rural southeast US—12-200 properties in places like rural Georgia or Alabama.

You’ll need to treat it like a business—handling tenant management, accounting, legal compliance, property maintenance, and more.That said, when done correctly, it’s a powerful tool for building wealth!

Refer to your state, city and county resources for any required items, or recommended inspections. 

If your home is newer, requires little maintenance, and doesn't experience a vacancy for at least 12 months, your $300 cash flow can build up a tidy reserve to get you through.