And you can see that a poorly designed policy with less than 85% cash value would negatively impact the results.This is what 85% of your money growing at 9% vs 100% of your money growing at 6% looks like... 

This has a very large positive impact on your wealth potential.

Hey Matthew,I am also worried about the impact that a declining oilfield could present. 

The LLC has no impact on the effective tax rates.Also if you acquire a property for the purpose of flipping, that will always be Ordinary Income, also likely subject to self-employment taxes.That particular sales event has no impact on the taxation of your normal rental income from other properties. 

But that is not really the biggest impact.

If your investment fails, it may impact your primary residence because of the money you borrowed against it.My preference is that you increase earnings, reduce expenses, save up, and make each investment stand on its own.

You may want to consult with an insurance agent to understand the impact on liability coverage.

It makes me nervous that one payment missing $150 is so impactful on your business model.

The shorter the prepayment term has an impact on increasing the rate.4.

My intention is not to boast but to inspire and share the significant impact that BiggerPockets, especially Joshua Dorkin and Brandon Turner, have had on my life.I first encountered BiggerPockets at 23 while enduring long 14+ hour days as a pipe fitter on hydroelectric dams in northern Manitoba, working 21 days on and 5 days off shift schedules.Although I was earning well for my age and educational background (I barely graduated high school), the job was unfulfilling and almost toxic, mainly because of the dynamics with the associates in the industry.