Original investors are taken out plus profit in the sale.  

If you look at the last 20 years of sales, annualized returns on single family detached are 6.18%.

Totally free, not for sale.

Purchase price: $45,000 Cash invested: $80,000 Sale price: $149,000 Purchased for $45k.

@Jaycee Greene half off the sales price.

The seller received multiple offers and agreed to accept mine—on the condition that I waive the appraisal contingency.The biggest concern was the lack of strong comparable sales in the area.

You can have the most beautiful kitchen, floors, and an overall great rehab, if sales are declining in the area or properties with similar rehabs are sitting on the market for several months, the appraiser will cut your value. 

I teach aspiring financial planners at the graduate level at Golden Gate University and often hear this sort of sales pitch for IULs, Infinite Banking, etc. 

Great tools out there to evaluate the density of rentals, houses sold/for sale like Zillow and Redfin can give you a great perspective on these and help guide your decisions!

Was paid sales commission to sell it to myself.