he is a teacher at the high school i went to, no one ever suspected he was bringing in so much money!

Rates are high, and have been high for sometime now, but don't let the interest rate steer you away if the numbers make sense on the next property.

As well as guest room in the main house.These properties are all personally owned and obviously highly leveraged.

Perhaps if the note was newly originated a one-year option might make sense.In essence, the option could serve as a bridge while the note seasons.I agree with your thoughts on introducing a lot of complexity -- hashing out all the details might only make sense for a very high-dollar note.

Although the suburbs may see a small but steady amount of positive equity growth, there is nothing hot and exciting happening in the suburbs to yield any high returns.

It's technically possible to have a high IRR number with average cash flow numbers if most of the returns are coming from the capital event(s). 

Otherwise, it’s like buying a retail business and having to work it yourself to make a profit – that’s called buying yourself a job, not a business.Appreciation has historically been sluggish in DFW, the most recent uptick is somewhat of an anomaly and may be at a relative high point, or lower relative affordability at the moment, which typically translates into pressure on prices.

High w2 earner and was wondering what would be savings i make on tax regarding rental income after all tax write off?

Keep enough money in the deal to be slightly OTM or cash flow neutral, and have enough cash to reserves to weather any storm and be happy with a very quality asset under your name.

Unless you're renting to people who cram dozens of people into every corner and share beds, etc....I would go high class and do (2) 10 x 12's, that's only 240 SF and leaves you 300 SF for living/kitchen....do a Jack n jill bathroom between the bedrooms...