But if you're willing to take a tiny leap of faith, I think the returns are solid, the diligence and the integrity are there, and the states/markets/submarkets and the asset class are thumbs-up.

@Mike Lambert That is highly dependent on a multitude of factors like size/luxury class/location/housing type/owner restrictions/etc.

* Do you provide move in and move out reports * How many pictures do you take of the property prior to tenant moves in and after the tenant moves out* Do you get weekly reports when the property is vacant what prospective tenants are saying about your home* Do you provide monthly newsletters to your tenants* Do you hold investor education classes to help me become a better investor* Do you have single point portfolio based management services?

It's a balance of cashflow and wealth accumulation.One of the goals is to have tenants pay as much of your cost-of-ownership as possible (loans, taxes, insurance, etc.)In high-cost areas, any Class A or B property you buy will usually negative cashflow for the first 3-5 years, until rents rise enough to cover the negative cashflow + rising taxes & insurance.Investing OOS increases your risks because you may not know the market and you can't check on everything/everyone all the time.If you move forward with your buddies, HIGHLY recommend creating a solid Partnership Agreement!

I'm looking to enter this asset class at a smaller price point to learn it more.

And what is your price point and are you looking for turn-key properties or something along the lines of a "fixer upper"?

This can help reduce risk and volatility by preventing overexposure to a single asset class. 1031 is only for investment property.7) Deprecation Schedule resets when the property is purchased in partnership with a DST.

Rancho is working class, solid neighborhoods, decent schools, and lot of first time home buyers looking for a decently sized house.

You mentioned buying a fixer upper with your HELOC and now are talking about a 20% down payment.

I'm looking at Class B properties in up-and-coming neighborhoods and plan to self-manage once I relocate.