You need experience to gain wisdom".Albert Einstein

If held less < 5 years no tax benefits. 5-7 years = 10% initial capital gain reduction. 7+ years = 15% initial capital gain reduction. 10+ years = completely tax free appreciation and depreciation along with the 15% initial capital gain reduction.

That reserve fund should be a priority.Remember that if you are in it for cash flow, you can benefit from the tax implications without actually getting a dollar in your pocket.

I know I need to establish a legal contract to use when gaining a deal to wholesale.

Thomas,From what I have gained so far, the only building permits will be for the recreation building.

If your rate adjusts higher in 7 years, you have to weigh that against your short term gains from the lower interest rate and figure out the time differential, which is to say how long past the adjustment you are still technically ahead of where you would be with a fixed rate.

I am trying to gain more knowledge and experience with understanding and predicting the real estate market.

I am trying to gain more knowledge and experience with understanding and predicting the real estate market.

Income tax benefits: You can take a dividend income which is taxed at a much lower income tax rate. 2. 

These losses will be suspended until the future until you have passive income (other rentals) or you sell that specific property and you can use the losses to potentially offset some the gain on sale.