When you go to sell, you're subject to tax on the amount of profit between your adjusted basis and sale price, not your purchase vs sale price.Recapture is NOT repaying the depreciation.

There's nothing left to cover expenses so you better have deep pockets to cover maintenance, admin, turns, etc.If you think you can quickly improve rents to a point that covers your expenses and pads your pocket a bit, then maybe, IF it hits your return threshold.If you're buying cash, then the mortgage is not a factor. 

and how do i cover this up?

I know there's someone who is an expert here on this subject.  

We recommend you get management contracts from several PMCs and compare the services they cover and, more importantly, what they each DO NOT cover.

They have stepped in to cover repairs for me, pressured mngt to do the same, introduced me to other PM teams that would perform better, shared multiple resources with me to assist with the sale of the properties and have spent ample time helping me strategize overall about what to do with these properties.

Might I suggest a separate addendum with regards to the septic system that ALL adults sign and covers what you want them to know.

Ultimately we decided that the cost of doing the cost segregations right now was not beneficial enough since he didn't really have any reason to pay for them and if I would have covered the full cost then the benefit wouldn't have been significant enough to me.That said, I do know there are ways to structure your operating agreement where the depreciation can be distributed to different partners in different ways.

Based on Micro and Macro local market and economics the ARV can be subject to many changes come time to get the appraisal for exit and many investors slip when it comes to margin to make the refi make sense.

@Noah Schulz what does the lease state about payment and what period the payments cover?