Depreciation allows you to spread out the expense of assets over several years, reducing taxable income each year.If you need further clarification, financing for your projects, or just have more questions please feel free to reach out to me directly.

Based on only the facts and circumstances listed above and if it meets the 2 out of 5 year test, it will be considered under the $250,000 income threshold and non-taxable.

In addition, hopefully living there while renting out the other units makes your housing expense cheaper, allowing you to save more for the next investment. 

that is a true private lender.Any other lender that has a website or advertises or is on facebook is a Hard MONEY LENDER HML started to market themselves as Private Money lenders about a decade ago on the guise that folks will think there rates are cheaper and they are easier to work with.. 

The 401k I used to have said if I default it didn't negatively affect my credit, but that it would become a taxable event like a withdrawal (come tax season) and I would have to pay penalties for the amount I had remaining. 

We were initially looking outside the major metropolitan areas, where it's significantly cheaper.

You need to have enough money, probably in the $100-150k, amount to put the property under contract, and do the feasibility study on the property, Phase 1 Environmental, Property Drawings for roads, water sewer, and utilities, and have a completed budget so you know what your costs are.At that point you can go out and attract investors, I don't thing that developing raw land is necessarily cheaper than buying discounted finished lots. 

for non commercial residential I saw a study indicating that 97 out of 100 largest cities that it is initially cheaper to rent than owner occupy purchase.  

There's no cheaper product- don't let the rates throw you, you'll save thousands with a HELOC. 

Don't like the rent in Malibu, there are much cheaper units in Frozen Nuts, Nebraska.