Lets consider a hypothetical 3/2, recent (<10 years old) SFH is about $80k.Lets assume, for the sake of argument, I pay this.Cost: $80,000Down: $16,000Closing: $2,000Rate: 5%Mortgage (incl Tax): $430Say I even go with a PM: $120/moInsurance: ~$500Rent: $1100 Gross income: $13,200Expenses: $7,100This looks like solid CF to me.But compared to the 2% rule, it seems borderline (1.3%)Doesn't meet the 1/3 rule.Not sure which end of the 50% rule PM fees are taken out of, but with Insurance CF from this metric is thin too.What am I missing?

I only mention the sale price and listing price because I have comparables that show 2 recent sales on the same street, 1 for $90,000 the other $112,000.Also, like I said I have bought and sold Real Estate before.

The tax aspects are onerous compared to buy and hold.

It can be super cheap to set up a simple trust compared to court fees and attorney fees.

We would like to leverage somewhat though to allow more purchasing opportunities while prices and lending rates are low.Can anyone chime in on the risk vs reward of using the residential loan but transferring the property into an LLC?

Compare the ones that aren't selling to the ones that HAVE sold recently.

I've compared notes with other managers.

The value of the home will be dramatically reduced compared to similar homes in the area since it is in a mobile home park.

Man, I know our income is good compared to national averages and such, but living in California, you can hardly notice it!

Another indicator would be the cost of equivelant brand new homes compared to existing homes.In my area, it is still easily cheaper to buy than build.