After reading about the 90 day rule (see below link) for acquisition indebtedness vs home equity indebtedness, I'm still uncertain if the cash-out mortgage interest on investment properties count towards the IRS allowable mortgage interest deductions .

Also I'm assuming that you own the attic space and it is not counted as common space of the building like a foundation or the land the building sits on probably is.

Let's project this out shall we:1 - If each deal takes 18 months (assuming they are all the same) to fund/cash, and...2 - Each deal generates $7k (with all being perfect) at a cost per deal (in cash) of $85k.Goals:1 - $100k/year ~ $8k/month2 - Needs 14 properties to =~ $100k/month3 - 18 months * 14 properties = 252 months (21 years), and that doesn't include the time each deal takes to find, negotiate, finance, close, put a tenant in, etc...or any problems with the properties along the way.4 - Total cost out of pocket (not counting surprises):  $1.2M

Does anyone know if both the day of check-in and check-out count as full days for tax purposes?

I am optimistic about the growth of this neighborhood also although it is a cash flowing property and I am not counting on appreciation alone.

Fire him now and count your blessings.

Count me in.

Here is what I am working on: The SITE:6,250 sqft lot (zoned RM-4) in North California, with an existing commercial building (900 sqft)The PLAN:a.Convert the existing 900 sqft into a work/live unit (does not count towards residential density)b.

@Robert Mouser, count your blessings, that's about as good of an outcome as you could have expected.

The rents can only be counted once you have a lease agreement executed and in some cases deposits in hand.