Life circumstance enabled me to be able to rent this particular property.

@Reggie MaggardOn the equity side sophisticated or accredited passive investors look for an overall 15% return’ usually composed of a 6-8% annual cash flow from operation, and an annualized 7-9% capital gain in 3-5 years through either sale of the property or a refinance enable by note amortization if leveraged and increase in value due to operator effort or discounted purchase price.On the debt side sophisticated and accredited investors look for 8-9% for VERY SAFE loans where the collateral is A or B commercial property in a major metropolitan area and the syndicator is large and increased, and the LTV is 60% or less.

But it can also be very rewarding and enable opportunities you wouldn't have otherwise.

I did not want to be forced into something that just because I was trying to save tax and used as true cash equity on my balance sheet it enabled me to scale my business in a different direction.but for this case were you have an elderly guy retiring.. trying to come up with complicated ( at least to him) tax schemes can be a tough sell..

If you don't have $1,250,000 at your disposal you should incorporate a BRRRR that will enable you to build it but it will slow you downs.ORIf you are able to generate $300/property in cashflow per month (after all expenses) - it is doable than every 10 houses will generate you the needed downpayment for another house about every 8 months. 

Having them out enables me to get in and do the rehab.How did you finance this deal?

A variety of factors have increased prices including a strong economy, limited inventory, and probably as much as the previous factors - management companies lowering their splits and a large portion of buyers self managing.When management companies are lowering their splits and owners self manage it enables them to pay higher prices and obtain similar/better returns.

We believe our offer is fair and will enable us to continue improving the property for many years to come.We would appreciate your consideration.Sincerely,Adam Craig

In Real Estate it enables you to do what is needed in the short term such as purchase a property and or Rehab it and or flip it etc...

This enabled me to use my office for free while cash-flowing $400 a month.