A reserve is unnecessary, but I still keep around $15,000 - $20,000 in my account.The point is, that you should sit down and assess your finances to determine what the worst-case scenario may look like, how much you would need to cover it without impacting your life, and whether you will need to build a reserve.

Comparable sales is how the value is determined.

Consult a lender to determine the best option for your goals.IF you want to preserve section 121, you should think abt selling your hour to S-corp.

Your success in real estate will be determined by you ultimately.

A temperature sensor is placed on the incoming and outgoing hot/cold water lines to determine the BTUs consumed.

You will be unavailable to her (and kids if you have them) physically and mentally most of the time, being immersed in the rehab of your property.

I personally like to look at every investment opportunity for the viability of the investment and then determine if better for Self-Directed IRA/401k, or if better for non-IRA funds.

Whether it be a real estate deal or a note deal, we always determine multiple exit strategies and what the downside risk is before making an offer. 

It's essential to determine your long-term goals and decide whether cash flow or long-term appreciation is more important.Good luck!

Hi Brian,You're on the right track, but to determine if you're truly generating cash flow, it's important to look beyond just your mortgage payment.Here's what to consider:Income: You're receiving $2,100 in rent, which is great.Expenses: Besides your $3,232 mortgage, you likely have other expenses like property taxes, insurance, maintenance, utilities (if you cover any), and potential vacancy costs.If your total rental income exceeds all of these combined costs, then you're generating positive cash flow.