Great recovery story, congratulations on making it through and sticking with it.

Tiara there are tons of the buyers in the market today that have cash to play with for purchasing a property.There is an incredible amount of money out there. 4 to 5 years ago at the bottom of market recoveries for some asset classes owners were desperate to do anything.

It seems (at least for the most part) the only money you could recover is that which you could get out of the property.

Whereas a bank loan can actually go to 0 if the recovery rate at bankruptcy is 0 for that tranche.  

An unexpected read that really stuck with me and continues to produce positive change in my life is Chris Bosh's new book, Letters to A Young Athlete.

FWIW, we would start with a management company and transition to self-managed in 1-2 years, though neither of us has any particular passion or aversion to rental management.General detailsPurchase @ $330k in 2010Current market value: $560kCurrent loan amount: $228kRevenueWe spoke with a trusted friend who estimated that the house could rent for $2600/mo in its current condition.Total (52 wk occupancy): $31,200/yrExpensesP&I: $1167/mo (~$14k/yr)Property taxes: ~$5100/yrInsurance: ~$1k/yrYard service, misc: ~$1700/yrManagement fee: 8% (~$2500/yr)Total: ~$24.3k/yrTaxesDepreciation: $12k (Rough estimate found from https://www.calculatorsoup.com/calculators/financi... with cost basis: $330k, recovery period: 27.5 yrs)Mortgage interest: ~$7900Other deductible expenses (prop taxes, insurance, yard service/misc, mgmt fee): $10.3kTotal change in AGI = revenue - deductible expenses = $31,200 - $12000 - $7900 - $10.3k ~= $1000We're in the 25% tax bracket, so these revenues and deductions add $250 to our federal tax bill.Total/yrRevenue: $31,200Expenses: $24,300 + $250 = $24,550Total profit/yr: $6650Even if we managed the property ourselves, our profit would be ~$8500.ConclusionThis is probably an optimistic analysis - it assumes 52 wk occupancy, and relatively low misc expenses.Since we have so much equity (~$330k), our return would be in the 2% range (managed) or 2.6% range (unmanaged).  

@Dave Saveri to preface, accelerated depreciation separates into three categories according to the Internal Revenue Code:"Personal, or tangible property" depreciates over 5 years"Land improvements" depreciates over 15 yearsBuilding, or structural components (everything else) depreciates over 27.5 or 39 years (which may change with the new tax reform to 25 years)That being said, some examples of 5-year property are: furniture, fixtures & equipment, carpet, decorative light fixtures, electrical costs that serve telephones and data outlets, shelves, decorative molding, etc.Some examples of 15-year property are: parking lots, fences, signage, etc.It is important to note, that the IRS highly recommends these property allocations (cost segregation) to be sourced according to the MACRAS Modified Accelerated Cost Recovery System, and the IRS Cost Segregation Audit Techniques Guide, and not estimated.

Everyone believes in a V shaped recovery, but am pretty sure we can expect a W with the second dip being worse. 

The IRR is a good way to look at it but you would want to include depreciation, interest payments, cost recovery...

Denver has a great market and will see a good recovery soon, if not already.