Somehow, if you have replacement coverage, and chose to NOT rebuild, the insurance company can give you a reduced payment (I heard 80 or 90%) of the loss.

Return on revenue (or return on sales) is an indication of operating profit margins (NOI/revenue) and has nothing to do with how a deal is financed.For a typical rental, using the 50% rule, your ROR is going to be about 50% (not quite, because things like vacancy and capex aren't expensed, but you get the idea).Now, if you're asking about your ROI or your IRR, those are theoretically infinite, as you are earning a positive return on zero investment (the denominator of the return ratio is zero).

So you get the full 8.8% for that:65000 x 0.2 x 0.088 = 1,144/yrThe other 80% earns 8.8%, but the money is borrowed at 4.5%, so you make the difference of 4.3% on that.

Its no different than investing, in that due diligence reduces the potential of jumping in without all the info required to make an informed decision.

Here are the Pros I have thought up so far to pitch: Interest earning aspectCash down up frontshort term - say 3-5 year balloon for example higher offering price compared to short sale offerclauses in contract pertaining to non payment etcAnyway, if you guys and gals can offer other ideas for a proposal to the seller that would be great.

Investors seek to invest in B Corporations because they too are interested in non-financial interests, changing the world, and reducing the impact of our ecological footprint on the planet and increase social benefits for sustainable communities that thrive for future generations.Hope that helps!

All of the earnings have to go back to the 401k.

Its negative because you're reducing the balance.

Maybe the answer is to reduce how much you put into the 401k and direct more of it toward real estate, but until you sit down and look at the numbers you'll never know.

The other thing is you still will get some benefits b/c you always can still reduce your taxable income with paper deductions such as depreciation.