Let me start anew and incorporate both replies.How to Calculate new Property Basis in 1031 ExchangeDefine terms:Property sold (assume purchased w/o any 1031 Exchange)P1 = Original Purchase price of property exchangedTDP1 = Total Improved Property = P1 – LV1DPY1 = depreciation to be taken per year (so TDP1/27.5 -- for SFH)LV1 = land value when purchasedTD1 = total depreciation taken = DPY1* X Where X = years of depreciation takenS1 = Net Sale = cash to QIG1 = Net gain to be deferred = S1 – B1D1 = Debt paid off in saleB1 = Basis of property sold = TDP1-TD1+LV1=====================================Property bought in 1031 Exchange w/o bootDeferred Gain = G1Deferred Depreciation Recapture = 0.25*TD1======================================1031 Requirements: P2 ≥ S1 & D2 ≥ D1======================================P2 = Purchase price of property boughtAC2 = Additional Consideration = P2 – S1TDP2 = Total Improved Property boughtLV2 = land value of property purchasedD2 = Debt assumed in new purchaseB2 = Calculated Basis of property purchased So just:B2 = B1 + AC2 And DPY2 = DPY1 for the next Y yearsWhere Y = 27.5-X (for a SFH) Is this correct??

Understanding the physical asset and any unknown issues during your due diligence period could save you money up front (through pricing negotiations with your seller) and allow you to plan more appropriately for the future.

I think it's awesome how your combining your passion for nutrition with the real estate industry by walking through financial and physical freedom.

GFCI outlets don't always fit into old elec boxes because the GFCI are physically much larger than regular outlets and old boxes are usually very small.

If you have a duplex or larger and only one has furnace then you need to pay for the heat and figure out how to incorporate heat into the rent.  

You could look into owning physical gold and silver, which is a very safe investment, despite what the fluctuations in the market may lead one to believe. 

If you need a physical local person, I would join local STR Facebook groups and ask who others use.  

You asked for bullet points, so this is one you may be able to incorporate into your talking points.

With hundreds of cat rentals over the years, I've never had to spend much to repair physical damage.The real damage from cats is odor.

Very well said I think the only thing that I would add to this conversation is that people need to spend more time understanding the mental side of being successful. having a certain amount in your bank account does not deem you to be successful and if you don't start working on it from the very beginning you'll never know when you reach it and it's not like you popped through a glass ceiling and you're on the other side and now you think that you're going to flip a switch and enjoy your life part of doing this is learning and enjoying the journey that you're on not just trying to get to the destination thinking you'll be happy at that point.You have to become a successful person mentally before you ever will financially or physically