Now client will owe $10,200 on their federal taxes and $7,905 on the CA state income taxes for a total of $18,105. 

For your cash flow focused investors, I would assume Detroit, Cincinnati, Memphis, and Kansas City, as well as your market of Indianapolis.It is looking like we'll get 1 cut, maybe 2, from the Federal Reserve next month.

You’ll need to hand over a large chunk of cash that’s just going to go to state and federal government, maybe 25-50% of the total gain, not just on the current property. 

The government makes sure it gets paid.To Your Success!

Thereby keeping the government’s hand off your family’s money. 

The biggest lever the Federal Government has is tax policy.

Insurance is going to get more expensive, the government wants to keep people in homes, home equity financing is only growing in popularity, multiple generations are living under the same roof more, and all of those trends are going to lead to changes in how tax law is used and possibly the law itself.

Also, you don’t need  $360k if the loan gets called; with a principal loan balance of $240k it would be more like $250k.Whether you do a wrap, sub to, or lease option when dealing with a owner occupant / consumer there are many legal “traps” to navigate because of consumer protection laws at a state level, and CFPB and Dodd Frank at the Federal level.  

The agreement should last 4-5 days.If I don't like that home, and I think I want to engage a buyer agent for more in depth services over a longer period of time, then I will entertain other buyer representation agreements, but I will not agree to over 2%, which is the maximum recommended by the Consumer Federation of America.To be fair, if my needs required my buyer agent to show me 30+ homes, or preview them since I am out of town, or something else that took an extraordinary amount of the agent's time, I would consider more than 2%.

I have invested as a LP in apartment communities where there is a partnership between a government agency and the ownership group to provide affordable housing in exchange for tax abatements and long-term, low-rate government funding.