How do you feel about a $700k purchase price with a non owner occupied 4plex DSCR loan 3yr prepayment penalty, 10yr interest only 30yr fixed after$560k loan amount (20% down)7.750 par rate with no costs. monthly payment $3,616.66Or pay $22,295 in closing costs and get a 6.375% Monthly payment of $2,975The monthly payment difference between the two is $641.66And when you take $22,295 in closing costs and divide it by $641.66 that will give you 34.5 months (2.89 yrs) to break even if my math is correctHow do you guys feel about taking a lil less than 3 years to break even on $22,295And the seller is giving me $15,500 in seller concessions thanks for the advice guys!!

The email advertising this deal literally has a "pyramid" drawing in it. 

Here customers happily pay 20-50% up front.One piece of that is that the 'profit' on each draw is not distributed but used to purchase the next round of materials so the project goes quickly.

Due to assumption they will be more a draw and negative than a resource. 

The problem with dividing the water bill up equally is some tenants will fight that saying other tenants are consuming more water then they are.

ha ha true--- Loophole is just a more fun word to use and used by my CPA- I think it draws more attention than "IRA Rules" thats just too boring :)

Located on a gorgeous corner lot, it makes dividing the usage much easier.

It allows a substantial portion of the asset's cost to be deducted in the first year of service.In 2023, the bonus depreciation rate is 80%.In 2024, it decreases to 60%.In 2025, the rate further reduces to 40%.COST SEGREGATION:Cost segregation involves dividing a property into its individual components for tax purposes.Some parts age faster, like carpets or paint.Your CPA can use this info to more accurately depreciate elements of your property leading to potential tax savings.BASIS:Your basis is the initial price that you paid for your property, including any expenses or improvements.Knowing your basis is crucial for tax purposes, as it's used to evaluate depreciation & determine the capital gains or losses if/when your property sells.LAND VALUE:This is how much your land is worth without any buildings or improvements.Land doesn't get old like buildings, so you can't depreciate it.

That said, do I just QCD  the property over to my single-member LLC and then make owner’s draws?

The total of that number over the year divided by your 5% down payment is your net worth ROI.