@Curt McClements if you are looking to invest in anything over a SFR as an investor ordinary financial institutions want the investor to put 25% down on the property.

Enjoy your favorite beverage on the patio as you view the beautiful Catalina mountains.

All the trim, inside doors, exterior door , and patio door.

If it takes you 4 months from start to finish buying,rehabbing,and then closing to make the profit at a 15k margin you would gross 3,750 a month for the time invested.You also get taxed at a much higher margin than ordinary income correct??

I also got a free pool, hot tob, deck, patio cover and other upgrades with the house.

I've always loved home improvement TV shows, and I also love doing home improvement jobs like building a back patio deck in a weekend, and other things like that.

It will be taxed as ordinary income with self employment to boot.

I know it is impossible to get 10% capital appreciation in future years, but I think 4 or 5% might be realistic.I think one of the advantages of this split is that rent would be taxed at ordinary income rates, so having a chunk of the return in capital appreciation defers the tax.

Nothing you described sounds out of the ordinary.

Either one pays no taxes at the entity level and the income passes through to the owners to be taxed as ordinary income.Employment taxes only apply if you pay W2 wages to someone (employee or yourself), and short term capital gains are the same as ordinary income.Probably best to go meet with a CPA and they will help steer you in the right direction.Good luck!