For this investment I plan to hold on to it for 5 years give or take making a nice monthly cash flow and betting on the value to go back up.

I lived in Colorado when I bought the property (2 houses on one property) and would regularly have to drive 5 hours at the drop off a hat because cleaners bailed, couldn’t get but back up cleaner to do it, something went wrong and no handyman available for 2 weeks etc. eventually I moved to New Mexico because it was not possible to self manage from a distance.

Infill Lot vs Rural Acreage vs Commerical vs Farmland, etc.In general, be prepared to go back up to 24 or even 36 months depending on comp density.

@Matt DevincenzoThanks for the back up. 

You can also set up a backup sync by importing the ical. 

Listing agents will call me and say that a deal is falling apart and I'm able to get in there before others know that it is back up for sale.

In fact, they should find a way to make it back up to you, but that's more specific to cultures.

To start off, I'm only 32 years old so I feel like I have plenty of time to get back up if I get knocked down.

In my mind, it's hard for me to take that extra $$ and apply it to principle when the backup reserves aren't yet fully funded....

So with this carry forward you're paying no tax first 2 years, a little tax 3rd year when the carry forward runs out, and then back up to a little higher than where you were with straight-line in year 4 and after.