A 401k loan has some risks...get layed off and have to pay it back or pay the 10% early penalty as well as income taxes if you cannot.A self-directed IRA is the typical retirement savings vehicle to invest in RE but it has undesireable attributes too.If you are young, you could diversify internationally or dip a little into emerging markets....they are not as highly valued.

it's worth around $1.5MM with 2/3 of that attributable to land value.i would like to get as much money as possible out (say $1MM) of the house for investment purposes at as low a cost as possible.are there any banks/institutions who will write a mortgage where i don't have to buy home owners insurance (the cost is sky high)?

I use bandit signs and hand written letters To folks behind on taxes ,along with Facebook ads looking for houses  I don't have Facebook but I'm curious how many deals a year you attribute to Facebook?

Buying in the UAE is out of the question, but one of my strongest attributes is my resources and ability to network.

NPV is superior in comparing investments with different attributes and does not have some of the mathematical issues of IRR.As far are performance reporting and investment analysis, I have always focused on IRR, Profit (and undiscounted measure of cash in less cash out) and Multiples (of equity). 

If the property would also be eligible for the 121 exclusion under the two of the prior five year rules, then any cash boot taken out of the exchange could be sheltered by the 121 exclusion.If the property had been in service as a rental, then converted to a primary residence, and is being used as a primary residence or second home at the time of sale, then the portion of the sale profit attributed to periods of non-qualified (rental) use would be taxable and the capital gains tax can not be deferred through a 1031 exchange.

@Derone Patterson and @Chris Armstrong, the short answer is you report it on Schedule E, Line 3, and you can report any expenses you have attributable to that income as deductions on Schedule E, Lines 5-20.  

They attribute this to a slowing of the 2 year surge in real estate prices.And the report further says that distressed homes account for the lowest percentage of sales since 2008.Darren Blomquist, vice president at Realty Trac said, "The flippers formula is to buy a property that they can add value to at a discount and sell at a premium. 

Below are some attributes and features of each.

Any other attributes to consider to improve my offer to this type of seller?