As a white kid from the suburbs, I realize that I will be in very unfamiliar turf as I begin my career as a landlord.So, other than buying a gun that I carry at all times, never going to the properties at night, and screening tenants beforehand to make sure they don't have serious criminal records, what else can I do to ensure that I stay safe while managing these types of properties in bad neighborhoods?

But you have to figure out how much debt you’re willing to carry.

Multiple bank accounts mean multiple cards to carry around.

@Mario Burnias this is NOT a good deal Much to tight, CC, Carrying cost, broker to sell, repairs will be higher, usually are especially at that price point .

He could always apply for a bridge loan which would have higher interest rates, that would allow him to carry both while he closes.

If it does you'll need to make sure the footings under the beam in the basement were sized to carry another whole floor.

@Lydia Woods, I'll answer one part of this... the owner probably wants to do seller financing because he/she will still get monthly income (from you).For example, rather than receiving a lump sum payment and having to pay taxes on that full amount this year, they'll carry the note and have you pay them a monthly mortgage, therefore only paying taxes on the amount they receive from you each year.So, they spread out the tax hit, and they keep getting a monthly income check.

Use part of what you have for a down payment to the owner ( keep some in reserves for unexpected issues) see if he will carry the remainder of the loan for at least 5 years or possibly the life of the loan depending on his age and what he is needing/ wanting out of the deal.

And do you have to use up passive loss carry over before you can defer the LTCG?

Vicky,If you currently have a rental that is paid for, you are carrying that through the whole "chain".