Every layer that comes off gets worse and worse.I can't tell you how many times I've gutted a house and found electrical problems, rotted wood, code violations, plumbing problems, etc.

If I hit each address three times a year and my piece costs $.50, I'd be spending $12K on marketing for a year for this farm.

Year 1 Costs include:Development costs---Land purchase-Land clear / stage-Septic installs-Electric installs-Well drillHousing costs--Mobile home purchases-Property management feesLand costs--TaxesYear 2 Costs include:-Property management fees-TaxesYear 3 Costs repeat year 2 and so on.It seems like this might be better than rental properties..?

Maintenance and utility expenses (Electric, Water, Landscaping, etc)5.

It just hit the market for $250K and will cash flow over $1000 a month with 20% down.

@Mike Hasemann as to depreciation, you still have the infrastructure available: roads, sewer lines, water lines, electric pads, any buildings.

Assuming the market stays essentially flat for the next decade, I am thinking I will look at the mortgage and determine when the house will hit 25% equity, and agree to get the owner off the note around that time (25% EQ + 6-12 months cushion).

If that's not feasible, then I buy an electric one and include it with the sale.Around here, these are HUGE resale items and offer superb bang for your buck.

I literally walked to his house one day.If he had been into real estate, he probably would have built a smart house -- something similar to the "smart dorm" build by the Berkeley kid.One of things I would like to see is an app that shuts off all electricity/appliances at night, and when no one else is home.

But if you can't even hit 1% properties, it may be your only option.