Is it not true that when you lease your property to an LLC and have the LLC manage tenants, you create a legal barrier between yourself and the property’s operations.

What I also enjoy is when people put out articles with contradicting view points and in six months or a year point to the - "see how correct i was", well yeah you placed bets on both red, black and green so you were going to be correct because you bet on all options.

A boiler building will operate less profitably than a furnace building.

If your bet is appreciation, bet your underlying fixed costs go up.

Rents tend to rise over time, amortization steadily increases equity, incomes rise, so the investor has a lot of “cover” for unfortunate timing or operating “mistakes”.Number 2 - periods like 1932 - 1941 and 2008 - 2013 are much harder on this strategy.  

Perhaps not a trend to consider across the city but any neighborhood that would attract college educated young professional families seems to be a good bet if you wanted to focus on this asset type.I plan to build 12 townhomes as a second phase of a condo/townhome project in a good area of Mount Airy near the Chestnut Hill boarder and even though I’m likely to years away from being ready to begin phase 2, my current plans are to keep the 12 homes as rentals for the precise reasons I outlined above.  

@William Coet it’s a different business model altogether.I love highly desirable areas that attract highly skilled high income college educated workforces.They tend to be more liberal and therefore the landlord tenant laws.The percent of their income that goes to rent is typically much less than 20% so a rental increase of 5-10% is nothing to them.They are typically lower cap rate areas and therefore every dollar of net operating income that is earned is explosive to the underlying asset value.

Hey @Clint Kelly, I was going to recommend something like BuilderTrend but from what you've said, QuickBooks Online (QBO_ does exactly what you need.The key here is you need an REI-savvy bookkeeping professional since you stated your current bookkeeper is dropping the ball.What you want is super easy to accomplish for a flipping company using QBO.We have Clients who flip close to 100 properties/year and everything is super organized for each property using QBO.It's the operator, not the software in this case.Hope that helps!

@Tom Gimer  I bet Tom being an owner of a title company and an attorney might be able to assist or comment on this scenario..

Of the options I’ve purchased, a majority expired unexercised, mainly because they were “flyers” for me on a bet on a beneficial event happening that wasn’t likely to happen.