In a market like this where properties are sitting a bit longer, buyer demand is kind of stagnant, many appraisals have been coming in lower than anticipated.

Type Line Item Fee Fixed Fee Collected Rents 10% of All Collected Rents New Tenant Search & Onboarding $600 Variable Fees Business Hour Service Calls $90/hour + Materials Cost + Tax After Hour Service Calls $120/hour + Materials Cost + Tax 3rd Party Coordination HVAC Cleaning & InspectionGutter CleaningSpring/Fall Exterior CleanupSeasonal Mowing & Weed TrimmingSeasonal Snow PlowingGeneral Contractor Negotiated Vendor Cost + 10% Oversight Fee  

This will also allow you to avoid taxes on the sale.

What I noticed so far is extremely high property taxes. 

@Brett RiemensniderYou don't need to provide anything to your tenants tax-wise.

Then there’s this glorious tax season where you realize how many things you get to deduct that others can’t, while sheltering your income with depreciation, and earning tax free income with appreciation.

NJ has the highest taxes per capita in the country so high taxes are expected especially in Northern NJ.

The fix/flip might be a good way to get such a relationship started: usually has lower cash out of pocket requirements and you can sell the property faster to recoup the capital invested, plus any profits.

So it helps keep the turnover lower.

And must be pretty significant unreported income if it would have caused $45k in state tax liability.You advised your client to wait past the expiration of state statute.