The allocation of adjusted tax basis into new properties after a 1031 exchange is done pro rata.  

They will look at sales comps for similar properties and the price per sq', they will look at the replacement cost of the property, and they will evaluate the property based on the NOI and Cap Rate. 

Do you charge and how much.Acceptable Vacancy Rate - we own a reasonable # of doors in the city of Milwaukee - not great areas but not horrible either.Thanks in advance

Lenders earn no depreciation and actually its worse because the interest you earn is taxed at ordinary income rates.

They will also rent out the home at market rate.

If you're buying a $550,000 home, at today's rates, your monthly payment is like $3500 or so.

That way you can tap your equity without losing your current mortgage rates.

You can do that with as little as 3.50% down on an fha renovation loan where all the reno dollars are given in the same 30 year fixed rate loan.

You can always do a HELOC on you primary up to 90% LTV vs an investment property only up to 75% -80% where rates are also slightly steeper.

The CAP rates aren't great, the vacancy rates are high, majority of multi-family locations are in areas with unreliable tenants.Overall, it just seems like it's difficult to achieve reliable passive income here.