I also received the sellers schedule C today and he makes 24k year from the 3 units 14k in expenses and 10k profit, thats with the rents being so low, I could make the same exact income while living in the 2 bedroom and raising the rents to $1k/mo on the 3 bedrooms.Does anyone have an opinion on the storage and garages?

I have proof the LLC/rentals are profitable.

Ask yourself, if they are doing all of that what do they need to hand the profits over to you for?

I have dealt with them for many years.. although to be frank most have shut down.. wholesaling in a tight market is a waste of time for most and not profitable for many

If you want to factor in utilities and furniture for the house, it's about 9-15 months before everything is paid for with the profits generated by each individual STR. 

Then you find a buyer who is willing to pay $130,000 for this property so without taking possession you assign a contact to a new buyer and make $30,000 profit.

They will affect whether or not your rental is profitable.  

Welcome, @Brian R.SoCal can be a tough nut to crack for newbies.A couple years ago I mailed out lots of letters to homeowners across LA County with no luck.Then I tried rural Kern County and got a deal from a distressed homeowner in California City.The margins were not as large as they would've been in LA or OC, but I was able to rent it out for 2 years before fixing it up and selling it for a decent gain.Also, have you considered an owner-occupied small multifamily for your first deal?

The depreciation is taxed at maximum 25% or lower based on your marginal tax rate. 

I recently met someone that said they collect their profit from selling a wholesale contract and keep it separate from the seller without a double closing.Anyone know how?