@Drew MacDermott One of the requirements of a rule-of-thumb is that it be simple enough you can do the math in your head while talking to the vendor's agent ;-)Spreadsheets are for detailed discounted cash flow analysis and/or Monte Carlo simulations.That said, building a spreadsheet is a sure way to ensure you know the material yourself {we have a fairly elaborate one which handles properties in either Canada or the US which we are continuously improving as we better understand the nuances of US lending and taxation}.

There are also a few other Canadians here who can help you with topics of financing, regulation and taxation which are done a little differently here.

This comes into play with distressed property, because any time the bank releases a borrower from the deficiency, the borrower is taxed on the amount of forgiven debt.In the past, there was a tax forgiveness program issued by the federal government in 2007 that waived taxation on this “phantom” income.

My family has owned a C-corp for our family farm for many years so I am pretty familiar with the legal/taxation issues involved with the C-corp. 

Match that with fundamentals like job/industry presence, taxation, and intrinsic value of the area (San Diego = Nice Weather).

Sub S has no "entity level" income/profit taxation, it's a straight pass thru to you.

Many foreign investors will find themselves being assessed tax at the same rates as US individuals.

The assessed value is used for taxation purposes and that influences the assessment, sometimes making it much lower and less often higher than actual value.  

@John Nicholas -  There are pros and cons to everything, but I chose to not buy in a C corp because of the double taxation.  

The county levies tax at a lower rate, but the higher acquisition price means you ware likely to pay more in taxes than you might expect.