Your talking about imputed interest vis a vi the IRS not the end of the day.Who is threatening to sue YOU..

@Bryan Devitt  well think of it this way.. the big whales own all the multi family as well.. also hedge funds when they started out some of them went for low value assets IE the cheaper hoody stuff.then realized that no work.. and they have been buying much better inventory the last 3 to 4 years.. like in Oregon they were buying 200k houses that rented for 1000 bucks  American homes for rent did that.. so no competition from the BP crowds they would think these were poor investments.. vis a vi return and cash flow.were the big guys also look at stability not only cash flow and return.. they don't need the return that most mom and pops do.. and because they bought better than average homes.. they are not experiencing the management hassle that those that buy lower value assets do every day.. like a Morris invest type situation.. 

My X in 3 years went in for a door squeak. you only change wiper fluid when needed  wiper blades and brake fluid every 25k miles.. so unless you hit something so far mine have been bullet proof .. now to be fair I have only owned them for 3.5 years and I always buy cars new drive them until I am bored with them and get another new one.. so like my model S I sold that last month ( for a price far better than any other used car vis a vi depreciation) and picking up a new X today ..

ARTICLE VI - AGREEMENTS WITH THIRD PARTIES AND WITH AFFILIATES OF THE JOINT VENTURERS 6.01 Validity of Transactions.

@Patti Robertson  rents simply don't go up exponentially vis a vi purchase price.. and the value proposition here is  probably appreciation play or instant equity.. can't look at it like your buying low end rentals.. or MF.. builders use construction financing to build right ??? 

As I said, I reached out to the LP vi a number on the internet and they did not know what I was talking about.

And again why he sold in CA he said was because of a bubble and why he went to Texas I can't really say for certain.. and why he left I only surmise from his talks that he was experiencing what many out of area land lords experience and that is lack of control.. compared to what he could do in So Cal. and I don't know what area of Texas he was in Either I fully understand that Austin is not like the rest of the state vis a vi values.  .. and at the time there were great buys to be had in So cal  and those So cal properties shot right back up so no doubt he did much better than if he would have held on to Texas... then I ran into him about 3 years ago at an Entrust event in Vegas were he was speaking and we got to chatting and he was very big into buying court house steps deals at that time.. and how to handle CA.. squatters that what end remember about that talk.

No other state I know is like ORegon vis a vi tax sales.and there is some other very interesting tid bits I would not share on line...

Joe V - I did nothing to cause the leak. 

(vi) Undertakes to perform a comparative market analysis.