These aren’t very steady income and we’re looking to transition into longer term rentals.

How does the demographic profile (age, income, health status) of potential residents in NJ/NY influence the demand for assisted living services?

So $100K is “profit” or “income”.The $100K income will come from total investor distributions over the 5 year hold plus a shares of the profits due to an increase in value. 

DSCR stands for Debt Service Coverage Ratio - basically it means that the income of the property is what qualifies the loan. 

I'm assuming with "commercial" you have a company and are looking for a line of credit based on the income that your company is producing?  

Allow me to put the money I'd pay for the property into gov't bonds paying roughly what the lease payment would cost, and 3. would give them ~$320K in total lease payments including the offset of capital gains, while it would be equivalent to me purchasing it for cash today at $225K.I know there is an income tax liability on the seller's part for the lease payments, but I don't know their situation to judge the impact of that.I've never done a transaction like this before, so please poke holes in it, or if you have a better option, please let me know.

The balance will be used as income after we retire (in about 10-12 years). 

If you live in New Jersey and work in New York, you will pay taxes to New York eventhough its not the state you live in.I am not sure if her question is in regards to residency, buying a house in one state(a state with an income tax) while maintaining residency in another state without a state income tax.i.e. buying a house in New York but maintaining residency in Florida

I currently invest my rental income into a high yield savings account or a s&p 500 index fund.

With the out of state investing, you'll likely need to file a non-resident return in any state where you invest and earn income if they have an income tax, and may want to talk to your CPA about making estimated payments to that state.