Let me know if you agree or disagree with my method any feed back is appreciated.here the sample report:

Therefore, this really is something you should be discussing with your CPA.The problem seems less about the nature of the first property's sale income, but rather that the second property was not purchased by a QOF.We can't do backward tax planning in this area.The QOF needs to be established before the second property is purchased, and there are several hoops you need to jump through. 

The typical equation is going to be: Taxes = Assessed Value x Mil Rate x A Certain Percent In my market, the counties use an easier method, it is 1.7%-2% of the total assessed value of the property and they recalculate at a sale, or during the next year cycle.

As a property manager I am (naturally) somewhat biased towards keeping a property and renting but agree wholeheartedly above.

Still, if you buy right and the numbers make sense, I don't think it will affect hard money as much as other methods of lending.

@Nick Robinson Awesome quick analysis method.

For those of you that have used this method, what have you found to be successful strategies to working with the seller for financing?

@Gaby PerezPeople always tell me I’m a natural networker and I usually think to myself something about how I’m not sure if that’s true, I wonder if they are just being nice, etc.

Naturally, you want to hire #1s as much as possible, and sometimes you will get one of them that their vision of their life coincides with what you are trying to do, but for the most part you need to plan on getting #1s and replacing them on a regular basis.After three decades of managing employees I am a big fan of the contract setup.

I think the BRRRR method would work wonderfully for you, as you could buy a home, fix it up, get a loan out on the home, recoup your entire initial investment and repeat.