Check with any of the big apartment associations and you'll find that these numbers are right on the money.What happens when you hear people claim inflated cash flows is that they are ignoring real world expenses, such as evictions, legal fees, lawsuits, captial expenses (not really an operating expense), advertising, office supplies, exterminations, etc.

Namely due diligence, using the right forms and other legalities.

Now, if there are other legal ways for me to improve my tax situation, of course that would be nice but with only 2 properties at this point, it hasn't been worth my effort to really investigate.Obviously I'm not even close to a CPA or a Lawyer but would gladly take free advice on how to save myself a few bucks...

There are land lot loans (for residential lots) that allow for up to 90% financing (90 LTV); general guidelines are:- mid FICO of 660- willingness to go FULL DOC- A debt to income not to exceed 45- A max. loan size of 400K- 6 mohths of reserves required- Up to 10 acres allowedb.

A second lien that forecloses takes the legal rights of possession from whoever owns the property but the second lienholder's position is still subject to the first lien.

Anyway, I got a letter from her last night indicating that she informed me of the mold issue back in Mar/April and nothing was done about it and that Section 8 has advised her seek legal aid.

I guess I am too late but there is a way that is a stretch and not sure about legalities in California.

Keeping up with their changing guidelines is tough too.

So when you say you are using a contract option, legally you are putting them under contract.

Nothing i say should be taken as legal advice."