But for now, I'm going to build a team by networking and research effectively on way's to avoid mistakes.

His effective tax rate may be 20%, but his marginal tax rate, and what this would be taxed at, would likely be higher.

It ignores vacant unit, clean up and marketing between tenants, eviction costs, damage, routine maintenance like the roof, hot water heaters, appliances, lawn care, snow removal, etc etc etc etc that are all real costs whether on an annual or some other recurring basis.In most places, if you can offer an investor a property with little deferred maintenance that is generating rents at 2% of purchase price, they are going to jump all over it.

But, by specifically stating a "Cash Flow" number that doesn't include these expenses, you ARE ignoring them.To not ignore them, your cash flow statement should be, for example:Cash Flow: $309 MINUS OPERATING EXPENSESAt very least, you should include a disclaimer to the effect of, "The Cash Flow and ROI numbers do not reflect the inclusion of operating expenses; actual cash flow and ROI will be lower."

Some idiot left a (ball check) in place fully inflated on the 3" line.No wonder water form the tubs wasn't draining.Apparently there was work done to the kitchen 7 to 8 years ago before I bought it a few months ago.The plumber says the ball check is to check holding water and pressure test and then is supposed to be taken off and a regular line used or just remove the ball and cap the pipe.Instead he said many times dry wallers just goes over it before the plumber comes back and the plumber says screw it and leaves it.I just couldn't believe it but the plumber has found this before on other properties he has worked on.

The exception is things that are billed just once a year and that are effectively taxes.

I've put in numerous bids but can't get a counter.Are you guys upping the EM or removing the option period?

Here are my options:1)Renovate it with the rest of the house and leave it as a second apartment.2)Add a doorway to the main house, remove the kitchen, and remove the extra power meter.

Landlord charged with attempted murder after trying to remove tenants with forklift.Whoops . . .I can definitely see how crazy tenants might drive a landlord, but that isn't the way to do it folks.

This market has effectively collapsed over the previous 12 to 18 months, as investors have fled the market.