But let's say my father in law becomes more of a partial owner that gets an annual dividend of x amount and we agree that I will buy him out at the end of 4 or 5 years.  

Numbers annualized areGross income 24kprop tax 1700land lease 900utilities 430Insurance ?  

FIBI (For Investors By Investors) is having their annual Holiday party in a couple of weeks.

On average, after a few additional repairs once the tenants moved in, the lawn services and other miscellaneous cost, I will probably net around $4,500 over the span of this tenants annual lease.

As for property values, a conservative estimate of inflation is 2% annually.

With inflation the money is devalued year over year so you still want maximum return but in a safe way. 8 million today would be devalued heavily in 10 to 20 years.Most of my clients with commercial real estate are very happy with 10 to 15% coc returns annually.

(goes to paying investors initial investment back).Any additional yearly return is split 80% going to investors, 20% going to Sponsor.At sale, investor is made whole on their initial investment.  80% of remaining funds go to investors, 20% to Sponsor.I've typically been targeting annualized returns of 18%-20% or more back to investors, though that is getting harder to do as the market improves. 

Even though you would have to do it semi-annually or annually for it to make any real financial sense, I think a free iPad or the like would encourage people to give reviews. 

Newbie here so looking at my first deal.Price - 500KDown 25% - 125KAnnual income - 33KAnnual expense (Craigslist) - 26K(Annual interest - 15KTax - 5.5KHOA, repairs etc - 4.8K)Income = 7.7Kcash-on-cash = 5.6%No property management fee needed since I am local.

.$95K listPurchase & term assumptions - $85K purchase, 25% down, 5.5% 15 year amort. 5  year balloon, $3500 closingIncome - $2900 monthly rentCost assumptions - 8% vacancy, 15% maintenance ($5220 annual), $3500 insurance (guessing), $2200 taxes, water $3600 (guessing), mgmt $3480.$7600 annual cash flow.... which is 31% CoC....but just under $80/door.Seems like OK cash but as @Ken A. mentioned - large headache quantity.