-When a tenant moved out, the management company refunded their security deposit but failed to account for damage, such as holes in walls and outlets ripped off the walls, leaving me with repair bills and also tenants moving in without the repairs being done.Stuff like this that is consistent and when I ask questions they are defensive, when I ask for more quotes for high ticket items they are defensive. 

Yeah, I think you may be missing an attempt at humor here....but then you are an accountant..... :-)

there are ways to get around the highest and you also need to take into account the savings you will generally have on the purchase side when compared to other regions. 

 Hi @Sean O'KeefeI would also like to get a copy of the real estate professional logbook.Thanks Account Closed for directing me to this post!

I recommend that you speak with a real estate accountant to see if you will benefit from a cost segregation first. 

My estimates are also accounting for $20,000 in septic (not included in the $400k number). 

Account Closed, we’ve never self-managed.  

Or take cash and pay the tax on their portion.Only your accountant will know whether this kind of drop and swap is possible without a tax event. 

Quote from @Kaaren Hall: @Jonathan Chan our account holders invest as lenders as well. 

@Jake AndronicoI’ve looked into them but have never executed one.Let me say they will be expensive and complicated.I think what you will find if one is trying to defer $50,000 to $100,000 in gain, it’s not going to be worth the time and trouble.On the other hand, if client is trying to defer gain of $500,000 to $1,000,000, it’s worth the time and trouble.I use First American Exchange for my own account a dozen times and they have been right on the money.Google them and reach out.Arn