@Holly Nielsen, what we don't know is: how much is $350/m as a proportion of your outlay into it?

Hi Ben,Great that your area is appreciating, but rent not being about to catch up in proportion and heavy competition in the rental market is common here in SoCal as it is in the growing areas of DFW (I invest in DFW so I understand your problem, on top of living in a peaked real estate market).I am sure you have thought about this before, so really there is no much options on the hold side.

My CPA has instructed me that the auto expenses (at least the proportion used for rental activities), overhead such as office supplies, software, tax preparation, and other items which occur to operate the rental properties (AS A WHOLE) are expensable on Schedule E relative to the activity (e.g. based on number of units per property) by "cost accounting or cost allocation".

Here is my current understanding on 2a - how to calculate the depreciatin of replacement properties.Realized gain for R = capital gain + depreciation = 168K.The total basis for property A & B are (225K+150K) + purchase cost let's say 8K - realized gain for R = 215KThe basis is splite proportionally between A & B - So A is 60% at 129K and B is at 86KWhat I am not clear now is how is the land value deducted from the basis - percentage (of land to purchase price) based or absolute land value based.   

A very small proportion of the total available residential inventory trades each year because of the stable demand and influences above, which makes competition for the small inventory high and tendency for price competition on the upside regular.

Would it, or the proportional proceeds, become taxable?

Just remember: The quality of the answers is directly proportional to the quality of the questions. 

. - doesn't jiveshe arrived to see the property in an Uber, a small compact car with her 3 big kids she owns a 2012 Toyota, that's ither furniture didn't look very nice, cheap, and hardly any, she has boxes of junk though.she let me know she was going to do the landscape (pick weeds), - how many people making that much money are out there picking weeds, btw, weeds still there.

In the instance of a BRRRR investment, and the owner is able to cashout his principle up-front, would it seem fair that (assuming a 15 year note), I would get the same proportional share on the property once it's free & clear in 15 years or if the house sells?

@Greg L.Cap rates are inversely proportional to prices.Falling cap rates means prices have risen.But, you also have to remember, a cap rate might be tight in year one, but rents would be expected to rise over time.Unlike residential properties that look at year one cash flows, commercial properties go out several years and include appreciation and sales scenarios.