(Happy about that)Typically my losses were "about" equating to my income, minus 2 months where I paid fees for major repairs that I needed to do, and physically cut checks to contractors for more than my income those months.

Seems like you're a sharp guy and it's awesome to see you're already devouring some books.If you haven't already, check out this great list of The 21 Best Real Estate Investing Books EverThe cool thing about building your real estate portfolio is, you typically won't have enemy civilizations trying to take you out of the equation!

I haven't had the pleasure of dealing with BOA yet so I'm not really familiar with equator.

I am interested in finding out what type of vacancy rate to plug into that equation and if taxes are low enough.

When you factor time into the equation then it also becomes the cheapest alternative as well.

What it covers doesn't seem to equate to the 10% that you've allotted so you're paying more and getting less. 

But this can change the result of the equation considerably, and might tip the scales.2) Offsetting the above somewhat is that the "advantage" of deducting depreciation on directly held real estate is not a permanent advantage.

Aside from all that, the main idea in the refinance part of the equation is to do your own cash-out refi to restructure the debt in a more economical vehicle, pull out some equity from the delta you've created between the purchase price and the ARV once your rehab is completed. 

I can see what he is doing and I can have my nephew, adopted son, step son, retired father, wife, girlfriends son, or whomever do what @Alex Bockey is doing and cut him out of the equation. 

Profits do not come into the 1031 equation.