Of course none of this was legal or documented in anyway, but I still produced a cash flow of about 400 dollars a month and even managed to sell "the rights of the name Sebass' Brownies" to a younger student for a tiny amount of cash when I graduated.

They can all work at different times, imo.Good luck finding your own method.Rich Awesome insight Rich,This is the same track I've been researching, thanks for the post to reiterate that there are others other there  on this same path:- the balance between cash flow, tax shield from depreciation, and projections to figure out how to net "0," on paper or as close to it as possible- building up the passive activity loss bucket in anticipation of properties or other income producing activities that have income that exceed expenses and depreciation so I can keep the net "0," balance for tax shield purposes- use of entities, revocable and non revocable trusts, and Life insurance to exit life with no estate tax, fund trusts with perpetual income and asset growth by auto/default design to perpetuate indefinitely into future generations

@Claudio Goliaas others have mentioned, vacation rentals can produce some great cashflow if you get the right deal, right location and property management.  

I hate it but it's like bandit signs it can produce leads if done right.  

I'm able to produce positive cash flow as since I live here and able to manage myself.

The details were great to read about and the investor stands to make a healthy profit at the end of the day.Best of luck!

If you have a property that is positive cashflow - then you can sit out any market downturn and simply collect rent checks while everybody else is freaking out - and you may even be in a great position to purchase even more cashflowing properties at their new deep discount prices - hang in there and keep your eye on the market and continue looking for properties that can produce income.  

I think that is one of the reason I am not having a healthy relation with my current property manager.

The monthly budget amounts are more than what we pay for propane, so it's actually a money maker for us.I would just tell your tenants that there will be a monthly "budget" amount for oil each month and produce a monthly statement for them. 

When working you way through the methodology and lists in Jason's books, just keep in-mind that certain aspects of financing and regulation will be different in BC, Canada (if that is where you plan to operate).Once you have absorbed "book knowledge", I would advise networking to finding an experienced rehabber in, or near-by, the area where you plan to operate and approach her/him about participating in an upcoming flip (you bringing capital to the table) to learn the ropes.Finally, I trust you plan to look elsewhere than Vancouver proper which has a crazily overheated market these days and you will need to command healthy sums of capital to play flipper in most of the City and surrounding 'burbs.