She beat the case for the electric and fail on the water and waste part due to the fact of the city capping offer their sewer from her.

Welcome to BP @Davis Edwards Find and network with local investors using find feature!

Welcome to BP @Valerie Dye Find and network with local investors using find feature!

@Nathan PaisleyJust realized the mention feature doesn't work on the mobile version.

Birmingham was the one that gave me a reasonable cap rate, properties that I visibly liked and gave me a little equity.

With features like this it won't last long.

Welcome to BP @Preston Morrison Find and network with local investors using find feature!

Now I have heard of the 1-2% rule of making sure your buyer is getting at least that per month on their money, but now I keep hearing cap rate cap rate cap rate!!!

Cap rate is still being figured out, likely close to 10.However my question is this.

Closing costs on both the sale and purchase also factor into the calculation.1) purchase price plus your closing costs is your initial basis.purchase price $100,000.00purchase costs $2,000.00initial basis $102,000.002) depreciation reduces your basisvalue of improvements $80,000.00annual depreciation $2,909.09depreciation after 10 years $29,090.91basis after 10 years $72,909.093) closing costs on the sale reduce your net return from the saleselling price $150,000.00selling costs $3,000.00net selling price $147,000.004) net selling price less your basis is the total gaintotal gain $74,090.915) the gain is now split into unrecaptured depreciation and capital gainsuncaptured depreciation $29,090.91cap gain $45,000.006) And the tax is computed on eachrecapture rate 25%cap gains rate 15%recap tax $7,272.73capital gains tax $6,750.007) add them up to get the total tax billtotal tax $14,022.73Do notice that each year you had a deduction of just under $3000.