Funny thing is either way taxes are still paid, if depreciated it actually reduces the tax bill because we typically make more money in the future and have less deductions, so IRS actually loses under this new rule.

I suspect the focus is on the lifetime interest savings which are reduced by the fee.Bottom line?

@John Good ideas, my design has reduced suppliers and construction trades need by 2/3 but, the other 1/3 mainly out of state shipped in is up for grabs.

In both cases, each year you will reduce the amount of the unpaid gain and pay taxes on the principal portion you received, and then pay tax on the interest earned.As far as the rents, once the rents are collected by the PM, you, as owner, have received the rents, whether they have been passed on to you or not.

The maximum gain that can be excluded is reduced by the percentage of your ownership that the property was in service for a non-qualfied use.

A lot of your statements on CA are false (I probably could have simply stated a lot of your statements are false), but your narrative may help keep some people away so I find it to assist my goal of reducing more people to the large Coastal CA cities. 

This will help increase profit and reduce cost.Where do you smart landlord usually shops (note, I use the term shop not buy)?

A trend recently is to offload water and sewer for the park directly to the tenants to reduce overhead for the park.

@Andrew Cox reduce vacancy & collection by leasing to organizations not individuals directly. 

@Dillon Dull , I agree with you, If you incur the unwanted expense to just reduce tax, that is straights stupid decision.