Rental income will be one of 4 legs of our retirement streams.

That elbow to the right in the bottom picture forms the "spill point" of the trap.

I would like to do this due to the income stream the second house would produce, but I am afraid that I would be over-leveraging myself.

Steven it sounds like they have 10k into the property and are trying to get their total investment back and then finance the rest out for monthly payments.The sellers this way as investors keep recycling the cash and build up revenue streams with monthly payments.In this case if you do not have the 10k then the seller will probably wait for another buyer.

Also, as a result of being in and around RE other opportunities will come about, like lending, flipping, moving up stream...

Originally posted by @David Faulkner:Originally posted by @Mike Fletcher:Originally posted by @David Faulkner: Interesting... the more you try to be civil... the more you have a loose nut try to start an unnecessary argument.If you are trying to brag about having some legendary imaginary investment skillz with a big Z to me, you barking up the wrong tree chuck... and if you dont have anything relevant or positive to add the discussion, find somewhere else to rant.Most multi family cash flow investors buy properties with cash or use debt from a lender for most transactions... so if you are referring to any other non main stream, private money route or pooling of investor funds as some sort of rocket science then feel free to give yourself a pat on the back... feel better now!

There is a Pilot gas station about 120 ft (slight up gradient) from our property, and our environmental phase 1 shows there was a spill in 2011.

These are usually ways to build a stream of clients that come to you and take time to build and grow.  

If your tenants stream pirated movies, post illegal content or engage in illicit online business, you will be the first point of contact from the cable company or authorities. 

So If I can give this investor a passive stream of income (10% preferred interest) and solid appreciation, all secured by a hard asset, then it seems like a 50/50 split would be warranted.