4 houses: value $6.5MEquity: $2.8Mpositive cash flow after debt, maintenance, taxes: $2000/modo I have additional capital to add?

So your $10k could get you a property but what you don't think about is the tenant class is lower and the ups and downs are more frequent.  

that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

Zoho Books, I am not using this as my partner uses it integrates nicely with CRM for book keeping and I could provide access to our CPA for Taxes. 

This is an example of private lending which is different than the IRA owning real estate and does not trigger UDFI/UBIT tax.

 - prop 13 basically fixes the property tax.  

Note that active income isn't the same thing as non-passive income, it's lower bar that just requires that it's a business activity that isn't just entirely passive. 

So, if your current rent roll is still on the lower side, it could limit the amount you can borrow right now.However, if you have even a partial track record showing improvements.. say a few of the units are already updated and attracting higher rents.. a lender might take that into consideration when underwriting.

That immediate tax savings in the new property is better than the infinite tax deferral of the 1031 exchange.

Here's a breakdown to consider:Cleveland: @Zeke Liston You're right, Cleveland often boasts lower purchase prices, making entry easier.