Also, how does one assess whether or not one can turn a profit after paying principal/interest, insurance, and taxes each month?

Quote from @Samuel Hudson: Hello friends I am new the market and recently bought a home in Weehawken 6 months backs .Its a three family home and we are currently doing renovations Right now.The rent leveling board told me that two units would have to follow a rent of 1650 for unit 1 which has three bedrooms and another unknown amount for unit 2 which they don’t have the information for .The previous seller I purchased the property from bought it as a tax lien .He has kept the property vacant for two years with no tenants before selling it to me .However ,the previous Owner he bought it from must have had tenants .I am putting in a lot of money into renovations and want some clarity on the situation I am in .The property has been vacant for the two years and currently still is as we are doing renovation .It would be really appreciated if anyone can assist me on what information needs to be provided by from the previous seller for me to be able to set the rent based on the market value .Thank you . 

Rents may be high, but where are taxes and insurance.

Thats your bonafides to being able to do future deals.As mentioned above, keep your credit perfect.

This might make sense, but again, you are just deferring the taxes and now pushing tax from capital gains to ordinary income. 

@William TaylorMichigan has some of the most complicated property taxes in the USA.

I have made my own list of leads as well with some properties that I find vacant, probate, tax lien. but have only helped an out of state realtor on a deal a yr ago. and 2025 I would like to have the right people to go to with questions and or properties when I talk/find home owners that are willing to get rid of the property as well. 

Rents have been pretty close to what the housing authorities advertise, sometimes even a bit higher.Fort Wayne’s a solid spot with low taxes and good cash flow—definitely worth looking into.

From tax stand point I would think you can separate from primary and be okay with IRS being that IRS will not be local code enforcement.  

Start with these three key points:Current SituationAssess your current or expected capital and credit within a realistic timeframe.