None of my questions were addressed - nor was my request to see some sort of financial statement specifying what all was to be included as assests and current estimated market values.

So, I would want to tie it up at this point and get in to do some serious due diligence.I sure would want to look at some financial statements for the last couple of years, I would want to check out the leases, I would want to investigate the rental market, I would want to inspect every unit, I would to call on the fire department, check any police incidents, check with the building department for violations, permits, etc.Overall this looks like a good possibility on the surface.

First thing is obvious legal advice needed on your entity structuring I.E managing LLC to manage your operation.I agree with your statement on assigning the % of beneficial interest to your LLC which does provide a good degree of asset protection ( no legal advice intended just my suggestion) since I work with land trusts and that is the preferred way to do this and you are effectively "layering" out any potential liabilities that is why land trusts and LLC or C corporations compliment each other so well.It is better to do this when the trust is created then to have to go back and do it just cleaner that way.In how we work with land trusts we use a corporate 503 (c) trustee corporation, who does all the trust administration so a management company really can not be used since it could invalidate your trust since the trustee performs a free collection service as well in their duties to the trusts beneficiaries.I would IMHO, separate an LLC to do the collections or use another licensed bonded company.The replies seem to be great advice since you would not wish to be commingling assets and you would want accurate management of your properties.Typically in a trust the tax burden falls to the trust beneficiaries and if you have a professional trustee you should have all tax statement from him on the payments received for tax purposes..Your estate planning or RE attorney should be able to structure for you a viable solution based on your tax structure since that is involved.Good luck to you..

Originally posted by Bryan Alenky:will, that's great advice....except the agent part...lol i already list my rehabs with a flat fee service, so i've shut my preferred agent out of the sell side.....but yes, in this case, you're prob right that it's best to give the listing agent both sides to get the deal...thanks for the ideaMy statement was only intended for the acquisition side, not the re-sell side.

I have had former sellers in similiar situations get the rental income counted with 9-12 months of statements instead of 2 years.

I have cleaned out eviction units, filed court papers, been threatened by tenants, cleaned ductwork, replaced faucets and power outlets, ceiling fans , woken up at 1am dealing with drunk tenants on the phone etc etc etc.When I confronted him last night he made the statement that "one unit has had no trouble/I've had to spend no time there" which is true --but other units have consumed MORE time so it evens out--as long as I am paid.

Originally posted by CHAMPAK SHAH:Keep houses paid for --Free and Clear is never a good idea- NO Return on Equity and no tax deduction on interest i'm sorry, but I very much disagree with that statement.

On taxes and insurance, the escrows are usually one year.Without seeing your HUD (settlement statement) it's really hard to judge whether or not you're being "ripped off".

The statement, that the effective date is the year 2012 to be reported in 2013, appears to be correct according to this next link:http://www.irs.gov/irb/2010-29_IRB/ar09.html

How to write up a contract etc.It may be total nonsense to you are may make some sense but getting a license for me was the best thing I ever did for my investing career.Some states actually prohibit a REALTOR from participating in this type of scheme so a blanket statement advising people to get their real estate license in order to wholesale properties in poor advice.In addition to states prohibiting such activity so do many broker's because E & O insurnace may not cover this type of activity which could leave the broker on the hook should something go bad.Moreover, many agents who can legally participate in this activity are opening themselves up to more actionable litigation.