@Chris - No merchant account would be needed if I am understanding the app correctly.

Steven, thank you for your reply. i have read that the state where the LLC is domiciled laws are what takes precedent over say california law in the case of a lawsuit. ill have to look that back up again but i believe that is correct. if you are correct it would make no sense for me to form my LLC in another state.

I want to run this sample deal to make sure my numbers are correct.

Am i correct that i would have to transfer the property to my personal name to get a conventional refi?

Hopefully this time I'll get advice that's correct.

Can this be correct 5 years free!

You haven't factored in future vacancy, rent loss, capital expenses, etc. into your equation, which would likely take your expense ratio to somewhere closer to 45-55%, or earning about $1000-1200/month before debt service.Speaking of debt service, you mentioned a $75K loan, but nowhere in your post have you mentioned your debt service payments -- they will detract from your cash flow and cash-on-cash return.Not saying this is a bad deal -- I just don't think you've analyzed it correctly to determine how good (or bad) of a deal it is).

You are correct that it will take blocks at a time and much neighborhood involvement to make this work, and that is the plan that I am putting together.

Greg is correct, they are at the courthouse.

Bryan is correct regarding the risk of a BK doing owner finance.