He told me if my housing authority was capping rents and reducing rents arbartrarly to report to the regional field office and he gave me a name and number og the person to report to.

Strategies going forward: - reduce the water usage to lower the utility bill, - increase rents on small units, - buy coin operated washer and dryer for additional income, - possibility of renovating the basement in to a little studio apartment and get a 4th tenant, - refi within 3-5 years and get rid of the monthly PMI.

If you pay, say, 80% for purchase plus rehab, then your profit potential is reduced to about 5% of ARV.

Steve - if you still need help with this, let me know -Cost Segregation is an IRS-approved method to increase your deductions for depreciation which reduces your taxes.

Or just go after all the assets in the LLC, which would wipe out the property holdings.Second - and on the upside - you have enough properties to get a blanket policy to cover all of them, which should reduce the rate per door.  

My goal is to capitalize on the market in Austin Texas by reducing the risk and creating an aggressive schedule.

So while the tenant pool for Class A & B typically had reduced income, they chose to prioritize paying the rent.

In popular areas, the interest rates get bid low or if the rate is fixed and the county allows a premium over the amount owed to be bid, then premiums get high which reduces your return.

This also depends on what you can buy it for.If a property is struggling and needs rehab and is a 60 unit say at 50% occupancy with rents at 460 a month.Then if you buy at such a low price you can reduce the rents below market to fill up fast and stabilize.So reduced rents could be 360 a month.You have bought at such a low cost that now you can undercut the other landlords that are strapped with heavy debt service and make a huge profit.You aren't charging top market rents so you have much less eviction and turnover costs.So as we all know there are general guidelines but every property is on a case by case basis.Every listing I take a learn a lot from each seller.Not really about the transaction side but how each of them 10,20,30 years in the business have run their properties and why.It's pretty interesting stuff.

An S-Corp is the prefered entity to flip from due to the ability to record a large portion of income via dividends which is taxed at a much lower rate.As Bryan stated, you can also use a single member LLC taxed as an S-Corp.If you have multiple deals going at once as I often do, simply record a lien against the properties to reduce/eliminate equity positions and help avoid legal actions attempting to get your equity.