Other then some minor administrative work every once and while, that is all the investor would do.Not sure how much of a difference it makes, but each investment is bringing in a 35% return on cash or higher.

Its about 1000 *.5 = 500 - mortgage which is (- $100) Another rule of thumbI ran the numbers and this is what I put 10% vacancy rate ( I put it high, i think its closer to 7) Revenues Rental Income 1,000 Vacancy/Loss Rate 10.0% Vacancy/Loss Value (100) Gross Income 900 Expenses Property Taxes Annual 744 Insurance Annual 300 Maintenance & Repairs Annual 2,400 Utilities Annual 0 Advertising Annual 0 Administrative ( I just added this for some reason) Annual 150 Variable Cost PM (% Income) 0 Fixed Cost PM Annual 0 Other 1 Annual Other 2 Monthly 0 Total Expenses Expenses as % of Gross Income NOI (Cash Available) 493 Mortgage 421 Total Cash Flow 71 Cash ROI CF & ROI (Doing My Own PM) Annual Cash Flow $2,153 Cash ROI 5.90% Total ROI 10.15%

I could only perform administrative tasks such as hiring a realtor.  

@Daniel FlesherIf you are looking to open an architect firm,  there are a variety of administrative hoops you need to jump through.

If there are administrative fees with the lending attorney, and then there are recovery overhead reserves in the case that someone buys a property and doesn't finish the flip where you need to foreclose on the property.

Some will charge a percentage each month but also a start-up fee, a leasing fee or lease renewal fee each year, administrative fees, maintenance fees, etc.

But of course, your administration may easily be able to overcome that potential weakness.

Below are 3 things to consider when selecting a custodian/administrator for a self-directed IRA.1.

I have worked as an administrator in the industry for approximately 8 years in the Michigan market, as well as Tampa, FL.  

How much easier to administrate and how much easier to control the criminals.Which is kind of the crux of my post (look at all of those Residential fixers, and room for strip malls just sitting there.Good Luck!