Increase income, reduce expenses, save, and invest.

Sales price: $900,000Seller finance: $400,000 / 2 year ballon / 7% interest rate / interest only monthly payment: $2,333 / no pre-payment feeEstimated monthly income: $9,300 / Annual: $111,600Electric separated - water $450 per monthProperty taxes: $16,700 (with property value assessed)Property Insurance: $6,300Renovation Repairs $150,000I anticipate the Re-fi appraisal to come in at a conservative $1,150,000. 

They provided insights into rental income expectations and market trends, which helped me identify 'good deals' that aligned with my investment goals.

Your taxable gain (based on income) would be $68,500 at averaged (13%) = $8,905I'm not a CPA, but this is a rough understanding of your position - hoping someone destroys this breakdown. 

Hi,I have 3 homes and need to find a template/form where I can put in all the original purchase information - or the most current refinancing information and all the current rental income and expenses.

What are you going to do if you lose your primary income for some reason and the property is losing money every month plus you have a large capital expense come up?

A DSCR loan (Debt Service Coverage Ratio) type loan would look at the rental income and expenses and determine the amount it could lend based on that.

Great question Luke, As a lender we use your personal income and the income from your properties to qualify you for the mortgage. 

Just a little background, we are big on long term and big on passive income.

Since its a legit business, this will simply be a labor expense and expenses reduce your AGI(adjusted gross income) which lowers your tax liability.