Now I do want to throw what my guess is out there, which is since he sold the property last year he is now buying into the LLC which owns the property, he cannot take his old basis or use this type of exemption.

. ($20k land and $100k building)Over 13 years you depreciate about $50k.You sell for $200k net and buy a $500k property ($400k building $100k land)You bought $300k more building and have $50k left from first property so your new basis for depreciation is $350k that you depreciate over 27.5 years.Now that I type it out, an easier way to get to this answer would be just take the new building value and subtract your total depreciation taken so far and that’s your answer. ($400k new building minus $50k taken already equals $350k)

What else macro-economic factors do these type of deals hinge on?

Purchase price: $1,500,000 Cash invested: $13,000,000 this project is currently under construction it is a 90 unit ground up build of market rate apartments with a student housing element What made you interested in investing in this type of deal?

After I live here for a few years, I plan to turn it into a rental property and hold it long term What made you interested in investing in this type of deal?

Seems like the midwest is where your money will go farthest for that type of thing.

You have to decide how you want to approach this and what type of financing is best for you, commercial financing, hard money, private lending, and/or seller's financing (owner).

Do you have any recommendations or insights on where would be an ideal place to start?

What made you interested in investing in this type of deal?

Curious which organizations are providing this data nad what types of companies are charging the bogus fees?