Seeing people producing tidy cash flows in areas like Indianapolis, Kansas City, or even the Tri-Cities area of Washington has certainly piqued my interest in areas with good cash flow where my savings dollars could potentially go further.I've recently attended my first local real estate meetup and plan to make a habit of doing so in the hopes of meeting folks with whom I could potentially partner in the future.

Once you have that, if you are filing jointly, then you can use depreciation to offset yours and your husbands income, not just what is being produced from the properties.

We own the building in a LLC, lets call this "LLC A" and it produces passive, taxable income to us.

I just stumbled onto this site and want to start learning how to do the obvious, investment the money wisely in income producing rentals and avoid taxes.  

How I would go about pricing this property would be based on the income it can produce, I would use a direct capitalization and also a discounted cash flow analysis.

And even if the cap rate increases again, I am OK because the 42-unit building I am buying will produce a lot of cash every month (in fact just the cashflow increase alone is over $75K/yr).2.

My investments will produce enough passive income by that point that the $500K is not needed.

Or add some extra for a cushion.Personally, I would buy properties all day long for $80k if they produce $950 per month rent and I can increase the rents by 5% per year.

have your wife be a top producing retail realtor and your troubles are over.. 

properties from wholesalers maybe without breaking any procedure with the bank?