If you have a $500K asset free and clear spinning off cash flow of $50K ($40k of which is taxable), you might leverage it to bring taxable income closer to break-even.

Following are the similarities and differences between the solo 401k and the self-directed IRA.The Self-Directed IRA and Solo 401k SimilaritiesBoth were created by congress for individuals to save for retirement;Both may be invested in alternative investments such as real estate, precious metals tax liens, promissory notes, private company shares, and stocks and mutual funds, to name a few;Both allow for Roth contributions;Both are subject to prohibited transaction rules;Both are subject to federal taxes at time of distribution;Both allow for checkbook control for placing alternative investments;Both may be invested in annuities;Both are protected from creditors;Both allow for nondeductible contributions;Both are prohibited from investing in assets listed under I.R.C. 408(m); andNeither may be invested in your own business. 

I've got insurance quotes from allstate (as landlord insurance) at 72 a month, taxes here are 2.65%(got it straight off the CAD), and i'm going by the 80% value of the asking price as the taxable rate(got it from asking a lot of questions to realtors and google searching).Price for the quad i'm offering is 325k, at 5% down with 4% interest only payments the monthly payments are 1029.17 + 72 + 574.17 for a monthly mortgage payment.

A quick search turned up this form:http://www.irs.gov/pub/irs-pdf/f1041es.pdfThis has a tax table on page 5 that says the tax is $3,011.50 plus 35% of the amount of taxable income over $11,650.

Printing & dristributing flyers might be considered harrassment, slander, defamation, or illegal distribution of someone's image; also, you can't place flyers in anyone's mailbox without postage attached (federal law) & there are likely local laws in your area re: flyer distribution.

You can check rentometer.com for the average rent in that area.Another way to find out the rent, is drive through the area, and call any for rent signs, that you see.FHA is the Federal Housing Administration.As a first time home owner you may qualify for a down payment of 3.5% Here is a link for you: http://www.fha.com/Good luck with your first home purchase.Raymond

And, that federal prosecuters didn't have the resources to seek convictions.

So, even if you sell at 50% of what you paid, you may well still have a taxable gain.

Depending on the location of the property, you could have to deal with State or Federal agencies, but usually not.One major difference is in building and site design/layout.

The Federal Gov't is exempt from paying transfer taxes, so in areas where it is customary for buyer and seller to equally split transfer taxes, and the Fed Gov't is selling (HUD for example) - then the buyer is on the hook for the entire transfer tax amount.