So we did "his and hers" duplexes, and she painted hers with pink trim. :)The cap also does not apply to a primary residence.

The only problem, as you can see from the pictures, the building itself is a horrible pink with an ugly design.

Either of these two ideas might give you the 15K sqFt in a smaller footprint (by building up) while also harvesting back parking.

It may be a stretch, not knowing all your numbers, but you may even be able to do a cash-out refinance that increases cash flow from this duplex and liquidates some of your equity to use on another investment.If it were my property, I would hesitate in selling just to harvest the equity.

If you do a good job you can harvest these investor relationships over the course of your investing career4.  

You can loan him the money and take out a mortgage on the property, but you will be in second position and he can keep borrowing against the property or make any changes he chooses like painting it pink. 

Heck, I was tickled pink when I bought my primary residence and was impressed at that. :-)But if you have limited capital available to you, then I think your best for getting to 3k in net profit is through sfh rentals.

If rents go up 3% a year I'd bet maintenance and other expenses go up as well, I doubt you can get 3% net increases every year without the amenities grown being included, maintained, harvested and probably distributed.Another no interest deal?

Its been tough the past three weeks our infant was in childrens hospital with a life threatening bout of gastroenteritis and a severe upper respiratory infection along with pink eye and a double ear infection.

I pulled a pink 1930s wall oven out of one place and the owner wanted to toss it.