We are using what seems to be the standard around here, we will clear anything over 3" accumulation.

The carpet was a brand new beige when he moved in and it was now black as a result of accumulated grease stains.

It has many short term payouts but if that money is reinvested back into financing more flips with a long term strategy of capital accumulation, it can lead to other opportunities of producing passive streams of income such as hard money lending.

I think that it is all depends on your long or short term goals (Or both...).If you are a long term investor (Buy-n-hold) who want to accumulate wealth over time, 20% is probably the way to go, however, in many cases it is harder to cash flow.

If you're looking to accumulate a portfolio of properties, have a good grasp on the market, and be able to get the good deals fast.

I always thought when you're in the accumulation phase that you want to show profit in order to keep buying more units.

It is too easy to have something go wrong and in today’s society be a target for a lawsuit when you start to accumulate wealth and assets to not be protected.

The only difference i been telling her is the rich accumulate assets vs liabilities.

that's how you can accumulate massive wealth when you resell or refi a value-ad property.  

I noticed that in his examples it took him until year 5 to accumulate enough cash flow and equity to put on a down payment on a 24 unit property.