Also this would illustrate the ability of doing the same small things over and over will have a big result 2*2*2*2...Am I close on what your are trying to get at?

There are two main qualities of real estate that I’ll highlight here to illustrate why I believe it to be the better choice: first, it is a much more permanent investment when compared to a company.

There are two main qualities of real estate that I’ll highlight here to illustrate why I believe it to be the better choice: first, it is a much more permanent investment when compared to a company.

For example, if the building grosses $60k a year (and nets $45k after taxes and expenses) what is a fair offer (note these are not actual numbers and used for illustration purposes)?

For example, if the building grosses $60k a year (and nets $45k after taxes and expenses) what is a fair offer (note these are not actual numbers and used for illustration purposes)?

To piggyback on Joel's data and thoughts, this also illustrates tangently why being an agent can be better than being a broker.

Just the fact that Washington is in red illustrates this.

I mentioned the utilities to illustrate the loss of my ability to take over the property, and begin preparing for next tenant, due to the tenant not being vacated.

My example is a somewhat modified BRRRR, but it might be illustrative: I bought a threeplex that only had two units rented and needed a lot of work.

Just claim straight-line depreciation, 1/39th of the basis each year starting in 2017 (you also have to deduct land allocation let's say 15% for illustrative purposes).$1,100,000-$135,000 (0.15%) =$935,000 This is your depreciable basis.Straight-line depreciation would be $23,974.35 each yearIf you do not need the extra loss this year, do the cost seg at a later date, when your property is producing income.