It is like a bond-style evaluation.

The seller then takes the $60,000 profit and invests in 4 percent short term yield bonds for a paltry $2400 annual profit instead of the $30k annual dividend by holding the asset.

@Scott JohnsonI don’t bother with it in formulas honestly -I would look at an investment compared to risk free rate of return (govt bonds / cd’s)Let’s say they are at 5.5% and an investment is at 8%.Then take the risk free rate 5% * (1- tax rate on investment) and do the same for the investmentFor example we have a fund that issues a 1099 div and say you are in 15% bracket and you get 8%.The net return is 6.8%In a cd that could be 5.5 * (1-.24) = 4.18 % and Let’s say you do private lending deal at 9% 9*.76 = 6.8

What does everyone think about Bond Hill?

Being new to investing it may not be the best idea to cut your teeth on an apartment before gaining experience unless you have an experienced investor you can at least bounce ideas off of. 

If the powers that be wanted to alleviate housing issues, they'd simply issue out some kind of bond program to off-set development cost because all know like magic over-bight a flood of starts would come in for review and approval.

The beauty of CC's is that they're fast and no questions are asked - ideal for an ambitious beginner seeking to cut their teeth.

House hacking is one way we can start our portfolio and cut our teeth without jumping into a 20 unit building and getting things wrong.

I predict exactly ZERO tenants will ever be prosecuted for perjury related to the filling out of the declaration form, regardless of whether they fill it out truthfully or lie through their teeth on it. 

So they're totally at the mercy of an employer, the stock and bond market, and the US economy.