Therefore, your returns from previous years contribute cumulatively toward your investment basis, which the 8%/year for the subsequent years is based off of.  

@Patrick Sercy, was this a sliding barn door, or a regular swinging door? 

If you get multiple uses out of it, but only have to pay for it once, that's using it...and, it makes that initial (and only) cost insignificant, since the cost per use is reduced with every subsequent use.  

They aren't located in super-competitive areas where loaded cash investors are itching to make buys.....thus driving up the yield and subsequently the risk.

@Jeff Brower@Jeff BrowerHi Jeff, sorry to slide in here and hack the convo :) I live in the burbs of Cleveland with a handful of rentals and now pursuing my R.E.

I knew it would be a moneymaker since I was buying it for $24K and I looked at it six ways from Sunday before making an offer.Some things I knew it needed.Roof and some of the roof deckingSome interior doors and replace a crappy sliding door.Siding, part was Masonite, part was T-111, lots was termite and water damagedSome structural.

., I have five (5) properties under management: Should I get statements saying property X Income/Expense, property Y Income/Expense, etc.Should I as a REI, also receive payment of revenues from said PMC and subsequently pay for all expenses via a separate method/account?

In this scenario I would be acquiring a short sale property from a wholesaler and then subsequently wholesaling that same property without adding value.

Here on BP when I see a question like this and everyone gets out their slide ruler to calculate return but nobody asks about goals and peace of mind.

Plus, you have a solid down payment going into the deal.Regarding subsequent deals, my favorite episode is Episode 113 with Jay Papasan.