The remaining 80% is depreciated over 27.5 years and, in your example, you'd take .45 of whatever that number ends up being.

Then I will do the same for the two remaining properties. 

That being said, a hot, fix and flip market will drive up prices which will increase the investment and therefore decrease the yield you make (assuming rent remains fixed). 

We are also currently working on writing our first lease agreement, our question is if we include all of the tenant's children/relatives etc... age 18 and older that will be living in the home on the lease and if the mother or father leaves, moves out, etc... will all of the remaining adults on the lease be fully and legally responsible to fulfill the remaining months on the lease? 

Carpet remains a major villain for lacking reuse options.

My definition of turnkey is: no need to do any work for it to be put into service (when buying from a developer) or remain in service with an existing tenant in it (when buying from a non-developer).

If I manage the properties that we have held for a long time that are generating taxable gains, this could allow us to use up the remaining passive losses.

As you can see in this link to the BLS, the unemployment rate in Bham has been declining steadily in 2017:https://www.bls.gov/eag/eag.al_birmingham_msa.htmAnd a breakdown of their data in many charts and delightful tables with historical data showing the long-term decline in unemployment:https://data.bls.gov/timeseries/LAUMT0113820000000...In the BLS' current summary for Bham, you can see that our rate is actually lower than the national average:https://www.bls.gov/regions/southeast/summary/blss...This summary also shows you that Birminghams cost of living remains lower than average, while our average wages/salaries have been increasing a faster clip than the rest of the nation.This is a report on business leader confidence showing that the forecast for Q3 2017 and beyond is optimistic:http://cber.cba.ua.edu/news.htmlThis is a the Birmingham Business Alliance's 2017 economic outlook report.

This means that demand for housing is likely to remain strong, which should result in steady rental income for landlords.Additionally, Palmdale and Lancaster are both located in Los Angeles County, which has seen strong price appreciation in the real estate market over the past few years.

Batteries (4 AA) have to be changed every few months though - but the website will report to you percent of battery remaining so you can monitor it.