If the person wants cash, then have a W9 handy and see how that goes over- I suspect like a lead balloon.I am extremely cautious and my records are bullet proof, this does not stop me from taking advantage of all of my legitimate deductions and making a great profit.Additionally, I suspect, that those of us who are not hobbyist landlords, will be under increased scrutiny when we take the 199A deduction.

Ground-up small MFR rarely pencils out because the building costs are so high and you just don't have economies of scale working in your favor.If I were you, @Jason Arvin, I'd focus my energy on finding some off-market opportunities...and getting a better agent.

Then you crush the little pet by trying to close every one.Have a cadence of important bullet points to get to.

Originally posted by @Parker Eberhard:@Jay Hinrichs the upfront cost is more, but they save money in the long run due to efficieny ON a new build I have in PDX  we just got a 10 out of 10 on an energy audit.. between the tankless water heater and mini splits.

This statement was the final bullet that killed the deal for good.The point here is to shed a light on the power of PMs, by showing how helpful they can be in the decision making process while acquiring a multifamily property. 

The entry points in the individual units I covered with wire mesh and either new baseboards or subfloor.At this point I've invested so much of my own energy, I want to see if I can fix it. if none of that works, after a couple of weeks, I'll hire someone new.

4) i have found homes around 150k to 170k, and i could enter this market this way, however the neighborhoods are bad and i wouldn't attract the roommates i would want, but i could bite the bullet and make this work some how.Overall i'm sure like everyone else here were in it for the profits and early retirement.

I’m in a small, tight-knit community where residents are interested in local real estate investing but lack the time/energy/youth to actively engage. 

Starting with "bad debt" payoff and savings, then looking to invest in residential, multi-family & mixed commercial in the Wallkill, NY area & open to other areas.Daily studying real estate investment, I'm an Energy Theft Investigator in San Jose, California.

But thanks for sharing this...I'm happy to say that I have finally found a bullet I dodged in this business!