Any additional cash flow is split based on ownership basis.  

But they may owe tax on unrecaptured depreciation.Their basis started at the price they paid plus purchase related costs. 

I'm in no position myself to partner with you on a financial basis, but would love to connect with you to see how we can help each other out.

I also used my VA loan, so I only had to pay closing costs of about $3.5k.Unfortunately, this area was in what’s called a “Mela-roos tax” zone for roads/neighborhood upkeep which added an extra $350/month to my PITI.Therefore, my total payments were $1600/month.When I moved in the summer of 2012, it looked like mortgage rates had sunken to about as low as they would go (I was wrong, they dropped another .75 basis points…but who can time the market).I decided that I would refinance to get a lower monthly payment.For $2k, I was able to reduce my monthly payments by $230.Add this to the fact that real estate prices were rising fast (my Ohio property was now worth about $95k and the one in California was at about $240K!).

I am learning a lot because I get to see a huge number of transactions on a weekly basis.  

They will have enough properties under management to know the market but small enough to be very interested in a new client (you).Property managers deal with the issues that concern you every day.

learn something knew everyday. you guys saved me and many others time and money.  

And/or what subcontractors are used sparingly that could be hired on a case by case basis (roof/HVAC, etc.)?

So why would you want to spend money on direct mail, etc.. when real estate agents are in the field every day.  

Now almost a month later, someone wants to buy one of the replacement properties, which will result in a short term capital gain.Can I do a 1031 exchange on this sale and roll the basis into another replacement property?