It's a good move to keep things separate – set up a business checking account for your rental income and expenses, and maybe a savings account for unexpected stuff or future upgrades.

It is set to be taken by the bank on March 7th.

It may also be beneficial to require a co-signer for the lease, especially if the tenants are college students with limited credit history.When writing up the lease, clearly outline the rules and expectations for the property, including noise levels, guest policies, and maintenance responsibilities.

If you've had them for years then your capital gains tax should be 15% unless you are over the income limit that pushes you into a 20% capital gains rate.

In my limited experience, I do believe a multifamily is more likely to cash flow.

So he needs to set aside $36k as a cushion?  

That increased demand where there was limited supply.

Set up keyword alerts to be notified of the topics that interest you: http://www.biggerpockets.com/alertsBest of luck investing!

I've heard you can designate a family member as an employee and avoid taxes if you keep their income under a certain limit.

Just more than I want to get into for the limited upside.