I had never thought about developing an equation that would simplify this decision.

I have to go way back int he memory banks to remember how to do an economic analysis on this so I don't have a calculated ROI, or set cap rate.I used the simplified rule I have seen on here with # of Lots * Rental Fee * 60 for a quick and dirty estimate of purchase price.

Maybe I am over simplifying but isnt the equity in each rental your net worth if you sell?

Or closing on it yourself.I've over simplified, there are many techniques and caveats.

So I don't understand how anyone knows other than the buyer and seller that this is an assignment contract.If anyone has knowledge please reply with a detailed yet simplified answer for a fourteen year old as soon as possible :)Regards, Stewart Smith

To put it simply, the world is complicated- you can try to simplify.

Most likely, and like most guru-ey books, he's just neglecting closing costs to simplify the examples.

Some areas have local realtor associations that provide a FlexMLS search engine (basically simplified version of MLS) for free.

While a long term buy and hold is obvi a decent call, we also have a chance to simplify our lives and get some appreciation out.The selling expenses I am aware of: LTCG tax, depreciation recapture, normal closing costs, etc.

I'm going to simplify this a bit, but here are the main players:  1.