@Scott EwellLeveraged vs debt-free is a personal decision to some extent.Leverage will give you a higher ceiling on your investment, whereas debt free provides the lower floor.While I can't say which is best for you in particular; I can say that, in my experience, every majorly successful investor I've come across uses debt in their strategy to some degree.

Danielle,I have been passively looking into properties here in Prescott, and nothing even comes close to the 2% rule.

Have a lower monthly payment, not pay PMI, be able to save a bit more from the W2 jobs each month, as well as having a greater percentage of the mortgage covered by the upstairs tenants. 

There are a number of guidelines the IRS has for performing a proper cost segregation study (which will pass in the event of an audit) Here is the link to that list on the IRS website:Cost Segregation Audit Technique Guide - Chapter 4 - Principal Elements of a Quality Cost Segregation Study and ReportI have never seen a DIY before, but I'm sure people do it.Depending on the size and type of your property the fee for engaging a qualified engineer-based firm to conduct the study can be as low as $3,000 (lower in certain cases), and the significant benefit created well outweighs the minimal costs.

I’m closely monitoring a few tenants as we speak. 1 requested to pay this Friday after payday due to a job change. 1 is $200 behind from last month. 1 got a rent increase but still has this month at the previous rate.

As a company we help investors with: - Sourcing properties in areas that should appreciate, have lower vacancies, and higher room rates based on our data from current properties.- Starting properties from the ground up with our expertise in what is needed for a rental to last and run smoothly, from simple furnishing to complete remodels/renovations.- Running properties as the businesses they are meant to be.

The others were bid pretty close to market value (not much value add).

An investor who had agreed upon this in writing, pulled some shady strings and forced me out of the listing when we closed escrow on a flip. 

Lower cost of entry, landlord friendly, low property taxes, no state income tax and only a few hours from NorCal.

@James You need to buy your clients "Runzas" From Runza as a closing gift.