The investment is the down payment plus the closing costs: 40,500+5500= 46,000.ROI = 4297/46000 = 9.3%GPT doesn't understand the power of leverage?

You qualify as a Real Estate Professional (REP).Keep in mind that the big play is accelerated depreciation to lower your tax burden which in turn increases your cash flow for that year.

The plan was to gain more experience with a few more lower maintenance type single family deals before moving beyond that.I definitely don't understand the multifamily market, looking around, it looks extremely overpriced.

The water system I'm on is closed.

The subject property you listed is in a solid location, its close to both Short and Long Sands Beach (two beaches in the area). 

Granted, that is for people that have perfect credit, putting down a large down payment, lower DTI, etc.

I also have to pay him out my pocket an amount after closing, since the seller's  agent wouldn't share more than 1% of commission apparently.

I am closing on a house and family member of the owner is living there, who has no lease, or should be in the house once I close.

You'll get an idea of the rate, the down payment required, do they want an experienced manager to make the loan fundable at close- where would you get this person is it you?

.$2M in, at this future time, lightly levered RE.Supposing this is close to what you’d love, one could spit out a financial plan that looked something like the following:- Max HSA- Max 401(k)Use leftovers to go on a shopping spree buying RE at relatively low leverage, potentially on 15 year mortgages, in local LCOL area (which probably also means a relatively reasonable cash flow market)Obviously I’m making a ton of assumptions here and will be wrong in ten places.