Besides, your total cost basis will be so large that you will still be better off in most cases buying turn key properties in more prudent markets.If you have the time and/or cash and/or team and/or experience and/or patience to find and fix a good property then you should be able to increase your initial equity position (increasing your ROE) and possibly increase your COC return but I would guess it wouldn't be enough to compete with your options in other markets with better R/V ratios.A "minimum" cap rate would be a personal choice.

This is a right that the Constitution does not permit him to have.As already observed, the finding that his wife had used her own money to purchase the property cannot, and will not, at this stage of the proceedings be reviewed and overturned.

@Joe Villeneuve, I respect your perspective and absolutely agree that as the value of a property goes up and you increase your equity position your leverage goes down (therefore your ROE also decreases).

When your "Return on Equity" becomes low, it might be time to re deploy those funds through a refi. to increase your ROE. 

There is little chance this ruling does not get over turned on appeal.  

They sold it via quit claim deed and cash sale and the buyer needless to say was not happy when we got the deed overturned and he had paid the contract holder the money.

Yes, ROE is a much better performance gauge an ROI.

And you were always supposed to report all your income, with or without 1099s.I agree that this reporting provision is awful, but not because it's "squeezing the little guy" - it's awful because of the massive confusion and double reporting it will create if not overturned.

this is why in AZ NV CA you had so many strategic foreclosures back in the day.the only reason Oregon went to judicial was for Robo signing type things.. and to make sure that the sales would not get overturned..

If you claims REPS and have a W2, it will get overturned on audit every time.