@Sean KuhnIf you put 12K of initial capital improvements into the property at purchase then I would include that amount in your initial capital cost (purchase + cost to put in service) and use that amount when calculating CAP, CoC, or any other measure of return.

I understand the trade off and i dont need a great area, just an area that is safe. the initial property that I buy I need to live in, I wanted to find something that I could buy and renovate, or get a good enough deal on initially so I could refi and pull out the initial cash invested, which I would then use to flip other properties.

But his initial outlay is much lower than the note he holds so the returns can be significant.My daughters have been doing the same but they like to spend it.

At that point it had been about a month and that initial momentum of a new listing was gone, didn’t have much activity.

@Tim G. we have initially looked at the Independence and Mango Creek areas, as well as Palencia and Ambergris Caye.

Consult with your tax or legal advisor and make absolutely sure that the LLC would be classified as a disregarded entity, otherwise it could disqualify your 1031 Exchange if you initially bought or immediately transferred the property into a LLC that was not a disregarded entity.

If someone comes to me, I'll send them your way.If you need help in your search or want to verify something don't hesitate to ask.I have clients worldwide and things are just as easy as I e-mail them, talking on the phone.

Due diligence on verifying the rehab costs and ARV is always recommended.

Once you've satisfied their initial pre-screening criteria, then I would have1.

Verify this is ok with your particular plan.