And the refinance is not a taxable event.

@Loren Souers I'd have to run the specific scenarios with the rates and fees, but if you're OK with paying the higher closing costs, the Mortgage 1 deal looks good, particularly if you focus on CoC returns.

The challenges experienced in the cases mentioned above and elsewhere would be non-existent.

- What does your 2022 tax returns look like?

I think about this often, its really just running the numbers - if you borrow 100k at an 8% interest rate, will the investment get you more than an 8% return?

However, if you believe the market could recover within six months and you're willing to take on that risk, waiting might yield a better return.

However, if the FHA interest rate is lower, I would still go that route and if rates drop refinance  however keep in mind FHA has PMI for life  Here you go FHA has the self sustaining requirement that requires the three non owner occupied  units to cover the entire PITI which with 3.5% or 5% down is virtually impossible with today's interest rates and price level.

Poor fockers won't be a return client of the wholesaler that's for sure. 

The same thing you claim on your tax return for your properties.

Most CFO clients that I work with that are new construction/home builders usually target a 20%-25% gross margin as they usually have to deliver high teen returns to their investors.Great question.