., cash) to accomplish this strategy long-term.That said, determining your returns is much, much simpler, as your return on each rental and rehab will be equivalent to your returns on the entire portfolio.For rentals, your cash-on-cash return will be $14.4K/$70K, or about 20%.For rehabs, your ROI will be $35K/$250K, or about 14%.

The buyer should record a memorandum of land contract (or the equivalent in Cal.). 

This question is the equivalent of asking why everyone doesn't drive Chevy pickup trucks?

NOI can be thought of as a "cash equivalent" investment... say like buying stocks, bonds or an annuity. let's say a property costs 100K and throws 10K/yr in cash... that is a 10% return.

It wasn't for fire records, and I'm not a lawyer and this is not legal advice, but one gal I met told me that she basically used this form (your state's equivalent will  be different), left out the "not being sought for commercial purposes" clause, the lack of which apparently went unnoticed, and they gave her the info she was after in a week.

This is equivalent to computing the "cap rate", which also ignores financing.

First, your sister might consider forming a US company to buy her property in as otherwise she will have FIRPTA tax withheld by the buyer equivalent to 15% of the sales price when she eventually sells her property.  

$ 1,842   Rental Income $ 1,200   Rent Equivalent $ 642  month Out of Pocket $ 1,543.70  month

A very wise man recently told me two things that are relevent here.If you negotiate with yourself you will lose every time.AndAs an investor, if you are find yourself with multiple essentially equivalent investment possibilities, it should not matter to you which one you buy.

I suppose you may squeak out a little more value by donating the house at FMV--they get a donation equivalent to the selling price of the home, AND you get the tax write-off at 25% (or tax rate) of the value (unless there are specific rules about this.