In it's most simplistic form, a COC ROI of 20% means that you will recoupe 20% of your upfront investment costs each year so it will take you ~5 years to recoup 100% of your investment (100%/20% = 5).The way to think about what would be an acceptable COC ROI in real estate: the stock market, on average, generates a return of 5-7% annually so if you're going to invest the amount of time in resources it takes to be a real estate investor, you want to make it worth your while and generate a better return than the stock market. 

@Luis Barberi This is ridiculously simplistic but I would start with Wikipedia.  

Thinking through different exit strategies which include 1031s (traditional,) outright sales, switches into over vehicles (ie. funds such as Realty Mogul, QOFs, MAS that work w/1031s) etc.One scenario, overly simplistic in my mind and thinking something obvious might be getting overlooked, is pane low income.Lets say my wife and I save up funds and suddenly retire at the same time, where we would have zero w2 income and other income sources (ie. rental income) would be below the 2022 married filing jointly limit of $83 350 - would this then mean we could sell an investment property we had for over a year and incur 0 capital gains?

Below is a simplistic worksheet.Over a 5-year hold period, IRR is 15%.Does anybody see a better option to deploy cash in today’s environment?

@Priceton Braswell Thank you so much for breaking things down in a more simplistic manner and I really like your approach on offering a lower price that will for sure make this property a positive cash flow. 

Is that an accurate, although simplistic, description?  

(My simplistic explanation relating to protecting yourself during the feudal system.)

Also, I watched the podcast 127 that you were a guest on and I just wanted to let you know that you did great and really broke things down as simplistic as possible.

As a scientist and engineer, I can tell you that to solve any problem you need to not listen to the sheep in front of you and start thinking on your own.Dissect the problem into its most primary, basic and simplistic components and then evaluate and trace, the underlying issue and solve it.The problem when the system is dissected all falls to finding motivated seller leads.You thus need to understand what a motivated seller lead is.A motivated seller is not someone that wants to sell their house.A motivated seller is not someone that needs to sell their house.It is not even someone that desperately falls on their knees begging you to buy their house.A motivated seller is someone willing to accept an offer below market value regardless of the reason.My point?

I am looking for a simplistic approach that will maximize my profits while ensuring the buyer has the greatest chance of success.