Taxes can seriously cut into profit potential here.I could hire property mgt. for about 10%, would this be a good idea?

There are lenders you should be working with that arent overly concerned about the income and assets on deals.Time to cut the strings on this one...you get my point.

I have an agent who will sometimes cut her commission on HUD's so we can make our numbers work.

Well my calcs actually were at .75 ARV, and that usually includes your 10% cut, thought that's just from my standard calcs, though thats to get in the ball park.

One day when I am rich I can cut back on my work and stop and smell the roses a little.

(an allowance over a 10 year period isnt going to cut it when you need a roof in 3 months)

I guess I am just trying to keep on the cutting edge of marketing in my area or something.

That'll need to be cut out and replaced.2 Chimney's Flashings need work.One 15' box gutter (simple not ornamented) needs to be at least partially rebuilt and probably relined with terne (or something) since it's leaning a bit and dumping water out of the wrong end.

I do agree with 4.5% being excessivehowever keep in mind real estate agents are making anywhere between 3 - 6 percentage points.. and in my opinion do a lot less work..I say this because everyone wants to haggle a broker fees..but very few individuals challenge the realtor fees..on purchase transactions that is another area you can be saving money..as Ezloans mentioned if their is no broker involved you better belive the lender is still making a direct cut off the yeild..

When you get into itemizing deductions, it's not quite cut and dry like a 1040 short form.That said, yes depreciation is a deduction but only on the building not on the value of the land, this you can find out from the county tax assessor.