Turns out the theory was right, but the decline has been even steeper.You might be able to predict whether a future market will be better or worse than the current one, but predicting how much worse or better is nearly impossible.And don't even get me started on how sponsors could be manipulating purchase cap rate, whether intentionally or unintentionally, by reporting pro-forma caps, non tax-adjusted NOI, and so on. 

I have 2 options:- finance the construction pre-selling the apt, and take my profits (expected to be around 700K pre-tax); or- finance the construction with a 6-7%/year loan (collateral = my house), keep the 10 units, and once the building is completed in 24 months, rent them for circa 180K/ year gross.

Have also used list source and prop stream before but the data they provide is very similar to what I pull off the tax records through CRS Tax. 

If you paid under $230k, you’d save $30k in federal capital gains taxes and maybe another $15k or more in state income taxes.

@Andrey ShostakA tax calculator would be nice.

Finally, even as the landlords cash flow increases, depreciation should keep a major portion tax deferred. 

Is it better to get an LLC when I become a land lord to get some tax benefits?

That will show what proposed tax increase you will see.

If anything it just means that initial newbie tax / buffer is going away. 

How is it a tax strategy though?