@Joel Owens thank you so much for clearly explaining the concepts.

I understand the concept of depreciation on a home over 27.5 years as an expense that has to be repaid, assuming the property doesn't lose an equivalent amount of value over that time (depreciation recapture).

@Edward Liu thank you for your advice so do you thing I should look into maybe having a different exit strategy like wholesaling it instead?

We took a closed off kitchen and living room and removed a wall thereby making it an open concept layout.

Currently the concept of opportunity zones is gaining momentum so also curious about how that plays into the general strategy of avoiding "war zones".  

Also, the velocity banking concept seems to have many holes in it for me.

Cash- Same concept 150k turn key and making Dave Ramsey proud.

Safety - Learn about Crime Prevention Through Environmental Design (CPTED) and employ the concepts at your property.

Basic flipping, holding, and BRRRR strategies are just that...basic...and, some of the weakest ways to invest.3 - You need to learn the differences between some common terms/concepts, and how to apply them to REI. 

Payments are based on a mortgage concept where I am the mortgage holder in first position, sales price of $45,000 against which your deposit is applied, 5% interest for an amortized term of 15 years and a 5 year balloon.