I would guess it would be pro data based on the replacement property cost for each, but I’m throwing darts.BTW, your 15% calculation on $16k cap gains would be $2400, not $1600....small brain fart I know.

I have 3 small kids, no money, bad credit, but I am determined to flip a house.

Once you have a property then go take out a small rehab loan in the LLC name even if you don't need the money.

Then I build a salon for my wife and put a small office space in it for me.

It’s not about telling a small lie or a big lie to get an advantage.

And you're too small for the commercial guys to waste their time.The flip side to doing one loan is that if you want to sell one or more of the properties before the mortgage is paid off, that's going to be more difficult. 

@Jennifer Marshall if it is a smaller counter top, sometimes you can get granite cheap if they have a small piece on the slab they are trying to get rid of.

We have a small number of long-time tenants who are always going to write a check and we have 'grandfathered' them through but we no longer accept tenants who can't manage the eRent. 

In short, my long-term plan is to begin investing in SFH (much lower barriers to entry) or small MFH (Duplex, TriPlex, Etc) to raise capital and build my resume with the goal in mind of getting into larger MFH/Commercial properties as quickly as I can. 

And it is the small guy like you with 1-5 properties who is not set up who has the most to loose.