Class C (older building & blue collar tenants n lower quality), you will be chasing rents, picking it up, hearing stories on why rent is late etc....older building meana more maintenance, regardless who ever is doing it, it's time consuming to do and or to arrange. 

@Rusty Thompson  one last thing, I plan to buy a quad And owner occupy but currently not finding any in my market that i would feel comfortable having me and my wife live in, there arnt many of them in B neighborhoods and very few in C neighborhoods none priced well for cash flow

They have an international component already contemplated and have switched to 506(c) offerings.  

@Jonathan C.  

Having to go pick up the rent checks on the first of the month and deposit them must sound really difficult to some people:) Admittedly, it is not always just that ...you get the complaints, broken A/C units, etc.

If you are holding these properties for more than a year (which it sounds like this one is), you will have to pay long-term capital gains which is a much more favorable rate.Transfering the property into an LLC does not solve any problems with the IRS b/c the LLC is a pass-through entity.

Excess passive income rules comes into play when you have been a C-corp before and have accumulated c-corp earnings & profits.

I have a small tenant house that I could purchase for about 30k. Its really not in bad shape just needs some paint, new carpet, and new stove/fridge. It also has central heating. Its also on 3 acres of land. My o...

Tax Information Gross: 186100 Exempt: 93050 Net: 93050 Taxes: 2812.92 Dwelling Information Style: Raised Ranch Story Height: 1 Attic: None Basement: Full Year Built: 1999 Ground Flr Area: 1008 Tot Living Area: 2078 Living Units: 1 Rooms: 7 Bedrooms: 3 Full Baths: 1 Half Baths: 0 Valuation Land: 33,500 Building: 152,600 Total: 186,100 Net Assessment: 186,100 Property Picture [ No Picture Available ] Sales History Book/Page Date Price Type Validity 1999/12/15 113,000 Land + Bldg 0 4066/266 1999/04/26 23,000 Land Only G Out Building Information Type Qty Year Size1 Size2 Grade Cond Shed-Frame 1 1970 4 6 C A

Well it depends on how serious you are... many deals are not deals at all b/c you run the risk of losing money as you go and the only smart investment is the one that pays for itself over an extended period of time.