Hey Rob, have you ever used any program before to compare to?

What gets brushed under the rug in the 50% rule discussions is the collection loss and economic vacancy when people purchase properties that cash flow with low amounts of dollars invested.

Many loan programs will require you to be in the chain of title and some will require you to have owned the property for a period of time.

As long as you don't take a loss, you won't change the fact that you have had great returns up to the point where you sell to trade for a different investment vehicle.

Don't know about Capstone, but these discuss large investments in REO-to-Rent programs by OakTree and GI Partners, large pvt equity funds.

Bare in mind, banks are not too keen to just take a loss because a borrower doesn't want a property any longer.

The best program for those seeking checkbook control and maximum flexibility is the solo K in my opinion.

You haven't factored in future vacancy, rent loss, capital expenses, etc. into your equation, which would likely take your expense ratio to somewhere closer to 45-55%, or earning about $1000-1200/month before debt service.Speaking of debt service, you mentioned a $75K loan, but nowhere in your post have you mentioned your debt service payments -- they will detract from your cash flow and cash-on-cash return.Not saying this is a bad deal -- I just don't think you've analyzed it correctly to determine how good (or bad) of a deal it is).

Not sure how much you're working with, but FNMA recently came out with a program that more or less has the same effect of what you have in mind

I am supposed to be receiving the current profit-loss today on two properties.