The truth is income is a messy topic when you venture into the calculation of over time, commissions, self employment income, rental income, and other grey areas of how income is calculated.

My income, after all, is all from employment, so it's pretty straightforward.

@John Suralik  subject too is a very old and easy method of acquiring RE its not big deal. what it is is uber risky for sellers unless the sellers have already lost their credit and don't care and are walking.. the reason is you take Title subject too  the existing loan.. remember loans stay in place unless paid off and even though all debt instruments have alienation clauses they are rarely envoked.

What is the best method to use for looking up pre-foreclosures and foreclosures?

I like both methods, but our travel nurses are a little more stable if your looking for a less turn over rate.

You just need to learn how to operate in your unique REI environment ... the strategies that the Mid-West and Deep South folks employ and preach on BP, just won't work in your market.

The more methods you have to generate leads the less competition you will have.

If you have a business you can deduct expenses the are "ordinary and necessary" to run your business.When I was self employed in sales I deducted all of the things you mentioned.

Let's keep an eye on VC and employment data.

Here is what I see:700k       ARV No340k       Buy525k       75%  REFI  10k       Cost of REFI (your number)515k       Cash at REFI340k       Reimburse cost to buy175k       Cash out122k       Cost/lost cash during negative cash flow period (4800/yr)  53k       Net gain over 17 yearsAlternative use of neg cash flow4800           NCF available funds/year to invest10%           Annual return % on alternative investment *$168,940   Return on one alternative use of available funds **  Using the BRRR method, those funds reinvested over and over, would lead to an exponential return...not straight line as shown here.If you have negative cash flow, the cash is dead during that time period.