You did not list a vacancy factor, accounting/legal expenses, advertising etc. unless that is grouped someone in your figures.

What are the legal steps?

You might try Stevens-Ness legal forms.

I have a 3 bedroom Single Family Home for rent.There are 3 persons (friends) that want to rent the home and split the rent.My question revolves around how I should legally structure the lease.I am thinking I should sign the lease with 1 of the 3 persons, and that person is responsible for collecting and paying the full rent.

You don't need to get a license, but such classes will teach you what they can and can not do, what is legal and what is not and how deals are done.If you need someone to open your house, have a relative do it, maybe the neighbor or just a friend, but not a Realtor.

They usually do move out and she changes the locks.This is farm country, but I cannot imagine ANYWHERE in the USA that this is legal.

Not smart or legal, wait til they catch you......

I would like to make it legally binding on both our ends.Where did you get 4 years from?

I'm thinking of a number of questions:* how to legally set it up* how to make sure we're set up for taxes after the sale* what percent split makes sense and is fair* who buys and owns tools that are needed for the rehab* other risks I'm not consideringI'd appreciate any guidance on how to do this.

To make this legal give them a gift card for a couple hundred bucks to a beautiful restaurant, or something of this nature.