Here's a https://www.irs.gov/businesses/cost-segregation-audit-technique-guide-chapter-4-principal-elements-of-a-quality-cost-segregation-study-and-report to the IRS website noting specific items that are included in the cost segregation study report.

Locking in such a low rate means more cash flow if you rent it out, even with your HOA and property management costs factored in.Let’s tackle this using your numbers:Current Rent: $2,950/monthAnnual Tax, Insurance, HOA: $7,000Mortgage (principal + interest): Roughly $20,832/yearWithout even factoring in maintenance or vacancy costs, you’re likely cash flow positive.

It's essentially (to my understanding) net selling agreement, between Principal (Investor) and Seller, to be Novated when third party/end buyer comes into picture.

Principal paydown of about 2k a year. 

I paid extra principal monthly regardless.  

Build the equity through appreciation and principal paydown, save on living expenses, hedge against inflation, then leverage that asset to buy your next home or rental property.

You are minimizing your input to maximize your output (output being an appreciating asset, paying down principal, tax benefits.2.

Equity from appreciation and loan principal payment will be captured in ROE; hence conversion to increase unit count and bump up cash flow.

And one thing I think you’d need to add to your analysis is the total return on retaining the property — that is, the equity appreciation too.If you buy a CD, when it matures you get back the nominal principal but inflation has eroded its real value in the meantime.

Monthly payment comes to $917,  plus another $350 for taxes and insurance so ~$1280/month due to the seller.Using a private money lender to fund the deal, borrowing ~$130,000 @ 10% interest rate, interest only, principal + interest paid as a balloon after completion  or 12 months.House is a 3br/1ba 950sqft. near a university.