@Anish Ramrakhyani - Indiana is a GREAT place to invest :) lots of potential for cash flowing deals.  

People think that they can cash in by suing them thar rich property owners.Regarding the amounts to insure, we just increased our rebuild value to $350 a square foot.

Purchase price: $140,000 Cash invested: $140,000 ARV 375,000...currently making monthly interest only payments to investor...using as primary res....Will refinance in a few months and use equity for other investments.

By accelerating your depreciation schedules, you reduce your taxable income which in turn increases your operating cash flow.

Price - $960,000Preferred Lender rate - 5%Rent per unit - $1,700-$1,800 (3 of the 4 units we had leased at close)Unit size - 3bed | 2.5 bath + garageFinancials - 25% down, 5% rate, monthly cash flow roughly $900 

If your goal is cash flow, I would look at other MSAs.

All the cash from 1031 will be invested and the valuation of the 3 new properties is more than the replaced. 

Due to some of the aforementioned reasons, we've found equivalent capital invested can be compounded in Oregon with greater cash on cash and yield compared to properties of equivalent features or characteristics in other nearby locations.

I was told I cannot do a conventional CASH OUT refinance once I lease it to an operator of RAL since lenders do not lend if you run a business in your house.

I will essentially be managing the entire property/collecting rent and my friend will not have to lift a finger.