I've calculated that if I sell my townhouse and take the capital gains tax hit, I'd come out about the same as if I'd wait to sell after the two-year mark.

Your best bet is to list it on Craiglist and other similar classified websites and other means of advertising to your buyers.

I have a CPA do all my tax work but I have been reading to try and understand a bit more so I can follow what he is doing.My question is about how I calculate depreciation as simply as possible.Property Value 100,000Basis 80,000 Land 20,000 - I divide the basis by 27.5 each year and that should give me (80,000\27.5) 2,909 that I can deduct off my pre-tax cash flow from the property.Just using an example, after all expenses and debt payments the property was to produce a pre-tax cash flow of 2000.

With management fees and $300 a unit a year for upkeep, I calculate a 8% cap rate (assuming full asking price).

That's a challenge - I'm placing bets...

:)To the OP, you calculated the interest.

And again I don't know the try viability with out knowing the numbers but I'd bet she would be happy to have the taxes taken care of.

Because you can bet that many were presented the opportunity before you.

REI clubs are clearly your best bet here.

I did some calculations as an example.Interest $6000 = $1800 returnDepreciation (note 1) $4800 = $1440 returnRent cash flow = $1920.for a total of $5160/yearThis looks like enough to keep you from bleeding if it's going to be a rental.Note 1: If you depreciate, you will have to pay this back if you sell the property later on.