My definition of a dependable passive income is as follows:Reliable - You continuously receive the income with minimal interruptions, in good and bad economic times.Inflation Adapting - Your rental income increases faster than inflation, so you have the additional dollars you need to maintain the same lifestyle.Persistent – The income continues for a long time; you and your spouse will not outlive the income.Below is an illustration of the process I recommend following:Goals - Start with your goals.

Illustration: 4 X 1,250 = $5,000 * 75% = 4,000 / month - 1 unit for you to live there = $3,000 in debt coverage. 

Because the maximum amount the VA will guarantee is $600k (you can go higher than this, still at 0% down, but this illustration is in the realm of split entitlement - which is your situation, which also applies to you regarding remaining entitlement).Your buddy's home that you want to assume is $250k. $300k + $250k = $550k.$550k is less than the county loan limit of $600k, so it means you can assume the loan as long as you meet the DTI and credit limits.If your buddy's home is >$300k, say $350k, then $300k + $350k = $650k, which is < $600k.

The Power of Bonus DepreciationTo better illustrate the potential impact of bonus depreciation to the right person, let me share ahypothetical example that closely mirrors the benefit that some of our investors are enjoying.John is a Radiologist who is part of a multi-partner group that covers several hospitals and free-standing imaging centers.

That is, as others have hinted, you need to bring to the table the knowledge your prospective investors may lack.So, that's where I recommend you start: learn how to raise funds for deals, and what you'll need to know so you can illustrate the value proposition a deal may represent.My $0.02 ...

This illustrates what I am talking about:and no school loans needed.Here is a "Good" link that can give you a glimpse of the business to help you figure out if it's for you, or not.How to Wire a Hot Tub: https://www.youtube.com/watch?

I can answer your question according to Arizona procedures, which might be illustrative to you but are in no way exactly what you can or should do in Georgia.1) Your LLC doesn't have to purchase your house.  

Along with having my RE License I also teach high school kids about Architecture, Engineering Design and Photoshop/Illustrator and how to create digital media.

Because a refinance does not impact your sale price or your basis.But what your example illustrates is how the 1031 can fit into this scenario. 

Very simple illustration/calculation on income/expenses/cashflow.