I have had 5% reductions twice on down payments that were way off their standards for a given market, from two separate institutions.

While not all transactions will follow suit, some will experience up to a 40% reduction from pandemic highs, potentially resulting in a median decrease of 20%.To sum it up, I expect there to be deals in the San Antonio multi-family space in the next year or two.

The second house won't start getting built for at least a year from now, so 2 years until that is on the market, so I can only hope that things get better, material prices come down etc etc.....So far we have not seen a reduction in home prices in the area yet, just a longer time on the market.  

@Justin WilmotI know you said that you don't mark up the price, so if a wholesaler is selling for $50k and wants to make $10k net profit and will not take a reduction in price, then one would just assign the '$50k contract' to the end-buyer for $3k, but in essence the end buyer paid a total of $53k ??

It's ridiculous as they bring a ton of value in terms of mortgage reduction and even cash flow.

The reduction of self employment tax is your best tax benefit.

In your experience, what is the "magic number" of houses per year where we could get these dramatic reductions in rates?  

I want to pump everything into passive income and expense reduction.

For a rental property, your net profit would be your income from the property minus expenses, including mortgage payments.Mortgage Payments: The principal portion of your mortgage payment is a reduction of liability (your loan balance), while the interest portion is an expense.

You will want to lease the property to an operating company for market rent (so if you can get FMV reduction in the sale perfect).