I read your profile and it looks like you are an "accidental" landlord, not really a landlord by choice.

Like an interest-only bank loan, they pay only the interest until the debt comes due (in this case mostly in 2025, so they have 7 years left to hold bond-investor money).Since the properties are bought outright with these funds, the REIT has a choice to make when payment comes due: issue new bond debt to pay off the old debt, or sell the property which has been collateralized against it.

@Thomas Paszko - Thomas from Property Upgradez is a awesome. 730-1006; he's done mainly exterior work for me.

Libby,I have section 8 properties and if you take care of the tenants they will likely take care of you and be long term tenants.I would say to them I can't afford it right now but if you will give me 6 months I will upgrade the flooring and give you a few choices to pick from.

I love tax liens for ESAs-good choice. 

That's mainly what I own now... and C or below makes me a little nervous. 

The rate, although important is not my main decision factor. 

In the end it important to think through the numbers and remain flexible to make the choices that work for your situation.  

But keep in mind we've never had a client audited for amending with Form 3115 so it's a personal choice and depends on your risk tolerance.

This is the method of choice for new construction in St.