Why not take the profit without the tax hit?

"How in God's name do they plan on making a profit" would come out of my mouth all the time.

I'm not a real estate professional in the IRS sense, so if I take money out of my real estate investments as profit, I'm paying ordinary income.

As is, it looks like the duplex would lose about 10k a year while the fourplex profit about 1k per year...that said Jersey City heights (duplex) is not rent controlled and would appreciate more than downtown Union City.

I would agree with Chris, I would not use debt to cover all costs and then hope to get a good pop on the sale to cover all the debt, payments and still have some in the end to make a profit to do it again.

Usually I lean toward buy and hold but that would be a great profit margin on a flip. 

Nothing penciled out on our spreadsheet for buying and profitably running something in Denver at the moment. 

All in all, everything I analyze from wholesalers, independent and large, are only giving about a $20,000 profit.

Sold 4 of our 8 Selfstorage locations to take profits off the table and pay some debt down.  

Delays like this—especially in probate—impact our timelines and profitability.