.) - vacancyExpenses =  debt service (your principal and interest on the loan if you have one), taxes, insurance, utilities, maintenance, capital expenses, property management (if you don't manage things yourself.)Of course, this is just one simplified way of looking at the numbers.

Hi all, I am a newbee on this forum, hoping to get some guidance on my upcoming 1031 exchange.Scenario:I am selling my rental property with a 300,000 mortgage, and expecting to sell it in the range of 1,000,000, i.e. 30% LTV (simplified numbers with similar ratio).I am planning to reinvest in with 1031 exchange and have a bunch of questions on that.

Tokenizing a house allows for this entire process to be simplified.

And if the tenant/buyer purchases the house at $170k 2 years later, he may get his original money back and possibly make something on top of that.Oh, and he can require the tenant/Buyer to install an AC unit and repair the roof, as part of the deal.There are a lot of options and variations to this, but this is a simplified version.

I want to simplify the process and hopefully charge people's credit cards if they're not paying on time.

There is a way to do the math with gross rent multipliers, a more simplified ratio.  

To overly simplify: debt used to purchase an income-producing asset (like it sounds you're planning to use it for) that you can borrow at a rate lower than the rate of return you expect to get from that asset.Even if property prices decline during a potential recession, I think the general consensus is (and I tend to agree), that the most we'd see unless there's WW3 or another crazy black swan event would be a temporary pull-back of ~10%, and as long as you're still cashflowing based on income/expenses, you should have no problem holding until the market comes back up, which it inevitably will.What I would caution you on though is make sure to read all the fine print of the HELOC! 

@Trevor Riley- how about  puuling some   cash out of the  property  while you still live in it  ...use this  cash as the seed for a new  purchase  and  turn the present home into a rental .....make sure that the new loan amount / payment  can  be  covered  by  the  possible  rent you could receive  renting it  ...if you want to  keep  things  simplified  - I would vote for  selling /  keeping some  of the proceeds for rental  down payment and  using the  other  potion for a down payment on new  primary home 

Here's a over-simplified example of a BRRRR scenario: Purchase Price: $50,000Repairs: $20,000After Repair Value (ARV): $100,000Rent: $1000/monthCash-out Refinance [75% of ARV] ( $100,000 * .75 ) : $75,000👆 This scenario has you pulling out the initial $70,000 in cash + an additional $5,000 and you have a home rented at $1000/month which will most likely cash flow on a $75,000 mortgage after all expenses.Again, this is an oversimplified example.

The tenant wants as much as they can get while paying as little as possible for it (I'm very much over simplifying here) meanwhile the landlord wants the exact opposite.