That would make a total exemption of $120k.

Probably something simple I am missing or the deal just doesn't make sense.3 condos, the owner has 14 out possible 48 in this complex and if the deal goes through may lead to more deals with her.the condos are 1/1, 2/1 and 2/2, she is asking 76k for the 2 2/1s and 64k for the one bedroom. total 216k, she would hold a second position note for 30k with me putting down the remainder of the 20% down (13,200) and pay closing costs. she would like 6 payments, one each year of 5200 for 6 years which comes out to 31200 total, about 1.5% interest rate if my calculations are correct.For simplicity, I am counting the 3 as a triplex, so rental income is 2325/month, tenants pay for electric and gas, HOA of 185(555) per pays for water, sewer and garbage as well as exterior and common area maintenance, snow removal, grass cutting, etc. taxes are 266 and insurance is 50 month (HO-6) policy which I hadn't heard of before.

The other option is to do a non agency product, such 12 months average bank deposits or asset depletion or DSC (debt service concerage) where 90% of the rent covers your total monthly payment 

In fact it would take years to make that much from cash flow.Using your numbers:$150,000 property$30,000 down + $30,000 repairs = $60,000 total investmentAfter repair value $200,000 = $20,000 in equity gained or 33% ROI + cash flow$200,000 property$40,000 down + $0 repairs = $40,000 total investmentAfter repair value $200,000 = Only return is from the cash flow as compared to the $40,000 you put downIt seems to me that fixing up the homes made you far wealthier.

As for the legal structure, you best bet is to speak with a securities attorney. 

@Jason Hunt this is a really tough question to answer as it totally depends on your goals (build wealth or reduce debt).

Understand the fees involved and calculate the total cost for an entire year of management so you can compare the different managers.

Current rents total to $6600/month.

My lingering question is where you source each piece of information to plug in to the calculator.If I'm trying to evaluate the total income minus the total expenses, and as a result the cash flow and ROI, where do I find all the different values that go into it?

I bet that would add up to more than a flat higher rent.