Rent each house for a year and take advantage of the lower rate for capital gains tax when you sell.

As a reminder, not long ago 60k per unit was kind of a normal price for an appartment building in Milwaukee (granted, much lower standards). 

If you figured out apartments, I know you can figure out self storage.BestGino Using a 10 Cap is pretty standard on the buy side in Secondary and Tertiary Markets for B properties or lower. 

Though my study so far has suggested that I can either tilt towards a higher cash-on-cash return, but in a lower appreciation market, or a tilt towards appreciation.   

From that point whatever the small difference from $400 is vs the carpet bid will either be owed by her or paid back if the bid came in lower than $400.3) Lastly, this is not someone that usually pays bills on time or has a ton of money.

Who owns them has nothing to do with your loan count with the lender.You could transfer them into an LLC and STILL be limited in your ability to get a loan because the loan is still in your name.The only way to get rid of the loan would be to pay it off, consolidate loans to 1 property to lower your limit, or get a commercial loan in the business' name. 

@Joe Pitrolo I second going with lower-end finishes.

Not that someone couldn't assault you in their own home, but the risk is definitely lower. 

The lower the price-to-rent ratio, the better ROI you are likely to receive.

The 5,000 increases your basis in the partnership and the 8,000 will lower your basis in the partnership.