It is a 2/1 on a quarter acre in the city limits.

The second house is under construction, the third went to permitting today and the fourth is in the planning stage.

Basically, the investor buying a property from us needs to make a guaranteed 8% ROI for example, we pay them quarterly and if we can rent the home out where say we make 11% ROI then not only have we made the sale to the investor but also an additional 3% on top of managing the home.

Their is a fourth protection and that is our agreement that we can repurchase any property should it go into default.3.

I will often go back and forth, do quarterly Profit & Loss reviews, and reviews during tax time to let the clients know how the filing on their returns will affect their financial plans and qualification going forward.

Our fund is set up to pay preferred returns quarterly as distributions.

David,When Canadians buy real estate in the US, they have to be concerned with four things, 1) how to own the property, 2) taxes, 3) probate, and 4) nonresident estate tax.

I was trying to merge this goal with the goal of a moderate cash flowing property but it seems this isn't a possible scenario.I intend to invest in cash flowing properties outside of this deal and have already done one cash deal where I bought a property all in for 33k that would comp for about 35k and sold it on land contract for 48k, with 14k down and the balance to be paid at 8% over 6 years.I am continuing to learn and hope to develop my knowledge and comfort in doing a variety of real estate deals but for now I will start with buy/hold rental properties or land contract notes As I have minimal sweat equity/time.My financial situation is interesting as I am a fourth year medical student who will not realize a substantial income for another 5-6 years.

I am a out of state investor and some quarters are better then others.

Thanks guysI was on the phone with the fourth CC company when I started reading Joel's post so i didn't cancel that one..