Maybe its the sense of security..

This is exact kind of common sense and creative underwriting we practice.

Since the Utility Bill will change each month, each tenant's portion will also change each month....Easy Example: Say we manage a 2 family with 6 tenants/residents in total: 4 people living upstairs in Unit 2,  and 2 people living downstairs in Unit 1:  If January's water bill for the whole building is $100, then February's Rent for Top Floor Unit 2 would have an extra $100 x 4/6th (or 2/3 rds) added on = $66.66February's Rent for Bottom Floor Unit 1 would have an extra $100 x 2/6th (or 1/3 rds) added on = $33.33I always send each Tenant a copy of the entire building's Water bill, plus a cover page with a detailed explanation of the billing-breakdown.Make sense?

Drew, I completely agree about resisting the temptation of buying more than I need, especially if I want it to make sense to then turn into a LTR after 2+ years. 

If I was just going to have one or two MTRs I probably wouldn’t do it but with several in the same house I think it makes sense.

It may also help to speak with both agents and wholesalers to get a better sense of your options before making a decision. 

Most cases it’s going to require a 3 year prepayment penalty unless you take the 5 year for the lower rate.In most cases even though people hate points it makes sense if you run the math to check the recouperation.

I wanted to get the opinion of those on BP regarding thoughts on this strategy, if it makes sense and if there are any tax implications.

Yeah I think in the future when you have more properties it makes sense to have an LLC but not for a single property. 

Hopefully this makes sense.