So my question is: Would you hold onto these two properties and possible benefit greatly in the upcoming years?

Benefits: Encourages long term tenants (who will lose all credits if they move and rent from another company) and ensures that YOU will get the sale (how many times have you had a tenant buy their first home elsewhere?).

Good MFHs are usually sold strictly on a cash flow basis, from one sophisticated investor to another, so real opportunities can be rarer.The benefits you list about having everything under one roof are correct.

You now have about $12K invested in the property, if you include closing costs on the loan.You rent the place for $1050/month, and assuming an 8.5% vacancy rate (a month a year) and expenses of 40% of net income (a little low, but okay since you just rehabbed), you should see the following returns:- $40,000 in total equity created from the property ($120K valuation minus $80K loan)- Year 1 Cash flow: $862- Year 1 Equity Accrual from Payments: $894- Cash-on-Cash Return: 7.43% (not including equity generated by rehab)- Total Return: 15.14% (not incl. rehab equity or tax benefits, which are investor dependent)- Total Return Including Equity Generated by Rehab: 347%If you choose to keep the property for longer than a year, your total return will obviously drop, but you're still receiving nearly $1000 a year in cash flow, $1000 a year in equity, and still have $40K in equity generated by the rehab.Rinse and repeat...

With a small budget, you should not be trying to create a bunch of campaigns and ad groups cause it doesn't result in any monetary benefit.

She also seems like a possible motivated seller since she is letting the property just sit there without much benefit.

We are all in the game.I profit no matter what the economy is doing.I profit more when the media says the economy is in bad shape.Because fear causes people to run scared away from money that is laying around.I think it's all a matter of knowing what is going on and that these are just cycles that are always occuring and adjusting your strategy to fit.There is nothing new under the sun when it comes to buying and selling properties.Laws change ....we adaptMarkets change.... we adaptFed changes rates....we adaptBanks tighten up on their lending ....adapt More forclosures ....adaptCan anyone tell me of one market condition that hasn't existed in the past.It has all happened before and it will happen again in the future.Very few inovations in Real Estate.Just people who know how to put it together.

If you are lucky, and/or control your expenses as much as possible, you reduce that 50% in reality and greatly benefit!

If you want me to take more risk, then I get a lower sales price on the option.It has taken me a long time to understand all the benefits to the home owner, but now I know and they love the ML as well.

Here is my understanding, although I am not an attorney.You only benefit from the homestead exemption if you currently own the house when you file.