You are buying th ecash flow th eproperty itself is not capable of generating it on it's own.

For instance, I've seen people use gross income instead of net operating income in the numerator.

If we did it would generate about $600 positive cashflow in addition to paying off the mortgage.  

You could even split it up across a few operators and/or operators. 

I like MFR for the sake of living mortgage free while we hack the property and generate money faster to purchase more properties.

You are in business, you are simply operating as a "Sole Proprietor" Yes your expenses are deductible.

Has anyone had any experience with compensating people that operate a direct mail system? 

I guess its just a matter of going out and finding that company and see how they operate.

It is pretty amazing stuff. 80+% of our leads/rentals come from online lead generation so it is very efficient and we text message the vast majority of leads which saves tons of time. 

The house next door rents for $350 per night and it's just a standard house with no pedigree.With that said, corporate events and weddings would be the big revenue generators supplemented by guided tours when the house was not rented.What I would do is renovate the interior of the house to match the interior of the Brady Bunch TV Show.