The solutions would be in the form of building out the passive or residual income presentation and also giving them a portion of the profits when the development is done. 

Making residual income How did you find this deal and how did you negotiate it?

Know that if you are treating properly within our treatment methodologies of isolating, decontaming, and residual kill you will not be getting bitten after your first treatment.

The annual cap is $16k and he is getting residual income that could potentially replace his commission income.

transactional income vs residual income.. 

This “front-loaded” allocation method is consistent with IRC § 1(h)(3), which defines adjusted net capital gain as the residual category of capital gain not taxed at higher rates.You would have already recognized $6,444 1250 gain as part of the down payment.

Another thought I had was that after focusing on a few houses in markets that have historically had good equity potential, we could also build a portfolio with homes that have a primary focus on cash flow and get some monthly residual income coming in as well.

I felt comfortable with a $200,000.00 investment in case a tenant moved out and it took several weeks to find another one.I’m not looking to get rich off my first property; I’m interested in creating some residual income and equity, so in 5-6 years I can repeat the process.

After the ceiling is dry it is best to sand the surface, this will remove any residue left on the sheetrock and give you a better surface to apply your new texture of paint.Depending on where you are, check your local codes for disposal.

Baltimore is fantastic for cash flow and residual income.