In general:-Always always always have primary residence first because when selling, first 500k (MFJ) is guaranteed tax-free-To become RE investor you do NOT even need to have rental, your primary is actually the best investment due to regulation above- In a decade, most houses are doubled or tripled in value if you bought at hot area.- When you plan to buy rental, buy rental that's cheaper than your primary- Depreciation is captured from building only on the first tax year so your example almost not possible in real world scenario- The PAL is extremely useful when you have other RE investments, this is what RE pro keeps doing to avoid large tax gains, for example if you have 5 syndication and 1 syndication post a hefty gain, the other 4 syndication PAL is used to offset that gain. 

In many cases, they are asking for double or triple what a RE agent would make on gross commission and they have no fiduciary responsibility to anyone.

All you do is hire a PM co and let them handle. 15- 20% net cap with appreciation ( I have seen pricing double triple or more in my market) is a heck of a lot better than 2, 5% All the best  

If your tree encroaches his property and you cut down the tree, then you can be sued for trespassing, possibly pay triple penalty and pay attorney's fees?

It doesn't work out all roses like we'd like and in the new world since the great recession, they are addressed as an unlawful practice with triple damage awards possible!

Our plan is for me to purchase the property he choices and I triple net lease it to him with interest for a fee equal to the required down payment and closing costs of the aquisition.

You may get a decent cash flow, but triple check your comps.

Got there and there was Already an electric dryer receptacle so I just slid the gas unit out and the electric unit in.A month later she called to say that her electric bill had tripled or something.Wow I can't imagine that an electric dryer would do that.I have a gas dryer.No; the old one was gas - the new one is electric.I don't want an electric dryerWhat's the difference?

Triple a credit, who's turnaround time is a half hour, and also mister landlord, who's turnaround time in 10 seconds, missed the crimes.

Great point, Will...I forgot to mention in my post that I'm in one of the cheapest real estate markets in terms of labor...you can double my prices in many areas of the country, and in high priced areas (CA, NYC, etc), you can triple them or more...As Will said, averages are meaningless...