Hello, is the Mortgage principal included in COGS?

This will also help when you file 1099s to report the proper amount to the IRS and send a correct 1099 to the PM for their PM Fees and possibly any Advertising or Repairs they may have doneFor the mortgage you will split it like you have it except the Mortgage will split to include the Principal amount to the Liability and the Interest expense. 

If some cause of action were to arise, the exposed party to litigation would be the legal title owner (in this case the LLC) and any savvy litigation attorney would also name the principal or managing members (in this case, you) in the lawsuit.

@David Lutz back of the napkin calculation would say $10k month rent with 5k for taxes, insurance, property taxes, maintenance and repairs plus cap ex and reserves which leaves 5k for principal and interest.

They have actually paid down extra principal every month.

After that, you'll need to start repaying both principal and interest, which could also affect your cash flow.However, the flexibility of a HELOC can be beneficial, especially if you plan to make strategic investments that generate higher returns in the short term.

So is managing them--we have never lost investor principal and don't plan to start now, and we will fight to the end of the earth to protect our investor's interests.

Melissa Bolling (principal) is a member here.I just bought a note where the escrow company was already in place as the servicing company.

Because of the amortization schedule, the payments at the end are more principal than interest, so the savings aren't that much in the big scheme of things.

Or, do I need to show some form of monthly principal only payment?