The numbers showed that option 2 closes the performance gap as I approached my target retirement age (65+) and exceeded it in retirement.My calculation does not factor in equity appreciation - just compounding of present value.I like the fact that option 2 gives me income while waiting for retirement. 

I factor my acquisitions on Adjusted NOI base, out of fear of one off capital draws needed to continue typical rental operations.

The plan includes how they will pay for arrearages and typically, the arrearages will be paid for over 3 or 5 years (36 or 60 payments).

For recapture, this could also vary due to a couple of factors.

I will include numbers below. 

The cap rates themselves from their ads don't include the cost of a commercial mortgage in their calculation.Now commercial loan rates that I'm seeing are at minimum 6% and higher. 

If you leave the property in your own name anything in your name is at risk, including your personal residence, savings, and future income.

Don't forget with a MTR you're paying all utilities including internet and yard care/snow removal, where with a LTR the tenant is paying all that. 

I thought I was going to own a few dozen single family properties before moving on to multi but after 3 I bought a 14 unit and have never looked back going bigger and bigger on every deal. if im not mistaken everything is already baked into that 775k except closing costs. and construction should take 6months tops. land is included (1acre) but if i had my own land builder said they'd take 65k off the price so 710k. yeah im just thinking whats best way to move forward. my first deal doesnt need to be perfect just want to build a nice base to build from

That being said, these will also have the strictest underwrites, including credit, DTI, and asset requirements.