If he had negotiated a bargain price of say $40,000 on the purchase, his profit would be $375,000 instead of $360,000.  

Section 8 vouchers pay up to fair market rent.

Not trying to scare you, but a lot of lawsuits happen because the landlord doesn't follow fair housing laws, or simply neglects repairs etc.

At a high LTV your leverage will be magnified.If your cash flow really is break even (I have my doubts) then with the magnification resulting from leverage, you could produce a fairly good return (ROI from leveraged appreciation, equity pay down, tax benefits).Good luck

Nothing 3 or 4 unit will pass the FHA self-sufficiency test, unless you are going to get the property for at least 30% off of fair market value. 

For example with India, some things is a fair rate, on some they are nailing 150% on USA imports. 

This can encourage positive word-of-mouth and build goodwill if they’re ever a reference for your property.Ultimately, focus on fairness and clear documentation.

Every year they will perform another evaluation to ensure you and the tenant complies.Hello rich why would the inspector decide the rental rate I feel like that should be up to us to get the fair market rate 

Things in your tax filing need to be really off to do this.Being a REP/active participant and using cost seg to offset a spouses (or your own if that's all you do) W-2 wages is fairly common practice.

I seem to get this question, or some variation of it, fairly often.