Think about things like interest rates and what happens when they move, gas prices and how an increase in price might squeeze your tenants if you a buy a property where most of them have a long commute, and the power of the dollar and how it affects foreign investments in places like LA/OC where many International investors are scooping up property at a rapid clip.

Based though on my experience buying a 130+ unit apartment complex (I put down $1M), it's more realistic to get 8-9% CCR p.a. but when you combine that with loan paydown over time (equity) PLUS appreciation, you will end up with 20% ROI/year (and that's tax free due to the power of depreciation).

Hey Guys -

Check this out . . . I was just looking through our reported posts and saw something that made me feel really good. Last night a spammer posted a junk post on the site and as you can see, the post ...

@Angelique A. I

I am open to 'teaming-up' I am always looking to build my power team.

In looking over the will I find that I am named bothexecutor and Successor Trustee and I am given power to handle all financial matters for the estate.

It will allow You to get the knowledge/currency that You need to up Your score the proper way, and learn about such things as "goodwill letters" , proper ways to dispute, and other powerful tools.

If so I lose 9% earning power of that same $ in an index fund.- If I get a loan ( which will be tricky since there is no mortgage, or at least a loan where I can deduct interest), the cost of $ is kinda steep on a $135K note- Duplex is fully depreciated so recapture tax will be steep when I eventually sell it.( I would inherit the same tax position of my generous family member ) Also means I wouldn't be able to take any depreciation.- Duplex will need $35K (approx & is a cash layout) for rehab.When I run the numbers over 10 years it seems i would be barely ahead to keep the duplex vs. investing my cash outlay over 10 years at 9% in an index fund.

Getting a some what accurate costs from the electric company to run the power can be a challenge too.

Leverage is the most powerful reason to invest in real estate.