I don't do commercial, but I thought I remember reading somewhere you typically needed net worth equivalent to what your borrowing.

CA provides for the theoretical possibility of not having a filing nexus, but unless the LLC is the effective equivalent of a publicly traded security you're stuck.

So you could get by with 40 gallon for gas and equivalent would be 50 gallon for electric.

Learned about commercial lending in the process, as I found out this property would not qualify for conventional financing.The appraisal came back for more than our contract price (like the real estate equivalent of an A+ on a test).I still own this one and have used the equity to purchase other properties since.

If you end up with two metro areas that are more or less equivalent, as far as properties available, rents, rehab costs, cash flow, all of that - then either pick the one that you personally want to visit more, or the one that has the cheapest/shortest flights from wherever you are. 

Isn't this equivalent to claim QBI deduction?

Let face it, depending on your price point the expense of the PM work could be an equivalent buy-in over sufficient time...I'd be happy to chat if you think it would be helpful. 

As far as I know, there's no real equivalent to that in the stock market. 

It would be the equivalent of me paying ~$300/month in rent versus paying ~$950+/month in rent elsewhere.One important thing to me is the security of having a home and not constantly throwing my money into increasing rent prices in my area.

But I wouldn't call this rate "Cap Rate" because it doesn't capitalize anything.Another perspective I'm offering is if you could accept that Cap Rate is conceptually equivalent to Price Earnings ratio (P/E ratio) of a stock then it's easy to see that Cap Rate is not (or should not be) a measure of return because P/E ratio is never used as a measure of return of a stock investment.