@Arlen Chou is one of the most brilliant and successful investors in the Bay Area.

Brilliant turn of phrase.

I worked through the financial crisis and watched all of the brilliant property maneuvers of now broke individuals, I know, I know "It can only go up."

@Jay Hinrichs that painting trick is brilliant.

I slowly realized, this woman is brilliant (glad she's mine).

Very Informational thread...Brilliant!

@Jeb Brilliant Yes, I do remember reaching out to you and finding out about the meetup.

This is a lot better question than how to charge a late fee or what holiday gift to get for a resident.Well thought out plan and this illustrates one of the huge benefits of commercial real estate, even at lower prices than discussed here.I am not qualified to answer but your 20% appears rightfully conservative and your $7.5 million appears correct.We all come here for answers and I typically don't like the "see your CPA" replies but there are tentacles into the rest of your tax return that may need to be factored in if you don't offset or defer the gain and recapture (phase outs, AMT, etc.).Not part of your post, but another good use of cost segregation plus bonus depreciation plus real estate professional status is the possibility of performing a tax free Roth conversion...just brilliant...tax free in, tax free out.

The single family we are trading it in for here in San Diego was only cash flowing $5,000 a year.That loan will be with my same local bank in Cleveland.  1031 exchanges are a brilliant way to defer your taxes too!!  

@Christopher First and foremost I wrote two articles for BP about this https://www.biggerpockets.com/blog/breakdown-VA-loan and https://www.biggerpockets.com/blog/benefits-va-loan Second, I think the small-multi house hack is a brilliant strategy!