They pay the rent $4500/month,they also have to pay about $1500/mon HOA,property tax and other expense.I knew the agent from local newspaper,he put ads on a lot of newspapers.I told him if he find one leased property please tell me.So he send me this property.

Unless you meet one of the exceptions or exclusions discussed later, the amount of the debt that has been canceled is ordinary income and must be reported on the appropriate form as discussed earlier.Interest included in canceled debt.

One of my companies invests exclusively in multifamily.  

You Primary Residence  will qualify for $250k ( $500k if Married) gain exclusion if all following requirements are met: You owned a home and used it as your main home during at least 2 of the last 5 years before the date of the sale.You did not claim any exclusion during last 2 years.You did not acquire the house with Like Kind exchange during last five years.If you meet the requirement, you do not have to pay any tax on sale of your house.

The 121 exclusion on gains states you had to have it as your primary for at least 2 of the previous 5 years.

So far we have done 3 deals, all 3 were different.  1st deal was a FSBO in the news paper(4-plex), 2nd was a SFR off of the MLS, and this deal was actually a word of mouth-the owner was the babysitter for my cousin's new baby.  

If your market has increased spending, it’s a good sign because it likely leads to criteria two.Population Growth – Read local newspapers or google population stats for the market to see if more people are moving in versus out.

I always tell all my realtors that whoever finds me the deal will get the sale through them, but I am not exclusive to anyone.

Regarding the hot market, the local newspaper even ran a story 2 weeks ago about housing was currently selling 15-25% above listing prices.

Does anyone deal with REO bank homes exclusively?