When one of us wants to get out I would assume it would be a tax nightmare to just sell everything off and split the money, not that this is my preferred route by any means but that it the most simplistic way of doing it in my mind.  

Those are 10 second simplistic examples. 

This might be a simplistic or backwards way to look at things but half the time I have no idea how people price their properties to begin with.

The plan is outlined below pretty simplistically but I am wondering what kind of growing pains I should expect for this plan:Year 1) Purchase a total of 8 units via SFHs and multi-units.Year 2) Purchase 16 Units via SFHs and multi-unitsYear 3) Purchase 24 units via SFHs and multi-unitsYear 4) Purchase 32 units via SFHs and multi-unitsYear 5) Purchase 40 units visa SFHs and multi-unitsI have around 25 - 30k of my own money to start this operation with roughly 85k of HELOC available to me. 

It's a unique blend of truth, reality and practicality, as well as encouragement, challenge and passion...definitely a love "of the game" and a distinct passion is evident in both your style of writing and the simplistic presentation and flow of the comprehensive content.So far, it's just been...WOW!  

A simplistic example: You have a $100,000 property that is rented for $2000 per month.

There are enough checks and balances in the system to avoid such a simplistic doom. 

After all, no cash flow, no eating, in the most simplistic sense.

Your annual return on the $400,000 will be 3.99%.That's a very simplistic calculation that doesn't take into consideration expenses like maintenance/repair, management/leasing fees, insurance, and, oh yeah, property taxes.

I recommend you explore areas within 30 min drive from your locale and explore if you can make positive csh-flow purchases in your area.Use redfin.com and homeseekers.com to see what is available in the desirable zipcodes.Analysis are simple: rule of the thumb is at GRM (Gross Rent Multiplier) this is a fancy term for a just a quick simplistic evaluation were property price is divided by gross yearly rent.Usually, 6-7 will produce positive cash-flow, 8-9 break-even, 10 or more is negative cash flow.There are other calculations, but this one is quick and dirty.I can tell you that you will find out that property located in not s good areas (mine are in South LA) will be more profitable, but you have to explore your market ..