First, you are going to want to know the trigger price of your home is, aka at what price point will my home be considered FMV and what is the average DOM for homes that are considered FMV. 

hi @Krista Patrick, I haven't pulled the trigger on anything yet...

I was wondering if there is a difference between "assuming a loan" versus taking over a loan in a subject to.If I do a subject to deal where I take over the loan of the current owner and they transfer the deed over to my name, how can I prevent the triggering of the "due-on-sale" clause?

One reference says that if the majority of fund properties are long term rentals and you have an occasional flip, it does not trigger UBIT. 

Not quite ready to pull the trigger.

Main thing is not getting too emotional about these rental properties, and knowing when to pull the trigger on a deal.

However, you have to be very diligent and not just buy a piece of property for the sake of buying i.e. don't be trigger happy.

I am looking at an opportunity:Single Family, Ask price $44,900 (projected purchase price of $40,000)Taxes, $1,400Rent $867/month (rented with long term tenant)Assumptions:5% vacancy10% maintenance5% reserveOh this would also be 100% financed long term with a private mortgage at 4.5%My analyzing spread sheet conservatively shows a cash flow of $4,100/year or $344/month.I really am not sure I want to putt the trigger on this one....My first deal (duplex) is projected to cash flow at almost 6K/year and I really didn't want to look at anything under 5k.I am new to this, but am I crazy? 

Now, I am hoping to pull the trigger once i get the financing I need to buy the first few units.

I hope this gives you a better idea of how to determine if the ROI is satisfactory enough to pull the trigger.