This deal is based off a real tax deed auction property in FL:1912 Sq ft 3/2 SFH in Bay County- ARV: $415,101- Estimated Monthly Rent $2,984- based off 6 comps within a 1 Mi radius.- Adjusted Purchase Price/ Max Bid: $210,840.80- I start with the 1% rule (thus why I start the analysis by looking at rent) and then adjust the price based on the potential pay-out from a cash-out refi and equity position on the property- more on this in a second. - Potential Investor payout (15%): $242,466 - Rehab total: $76,480.00- I just used $40/ sqft for an estimate.

While there are many advantages like low property taxes, landlord friendly, strong appreciation it's not going to be as cheap as the Midwest and have the cash flow with 25% down.

Now after consulting with a number of RE CPAs I found out that the legal structure you created is the most tax inefficient strategy for california residents and eventually I may be paying a big tax bill year end unless I do a major surgery and spend a lot more money to get it fixed. let me know if we can 1:1 sometime soon to discuss it more

In my state that would be an expensive change as I would be paying state transfer tax on the move along with other costs plus I would need to consider whether I wanted to buy title insurance on the property for the new LLC.

You can get a bridge loan (nice way of saying hard money) for the renovations and then, once all is back to normal, you can get a DSCR or other type of permanent financing done, but I don't know of any permanent financing scenario for an investment property that would allow the property to be in that state. 

With more money, an investor can buy larger, multiple, or more productive propertiesDon't believe me - take a look at this comparison chart:Let’s say you do 10 transactions in your investing career.

If you hear "easy, fast, with no money required" - be cautious. 

https://www.biggerpockets.com/...BiggerPockets has a tax pro resource page.

There are several apps that will report credit lines to your credit report without getting you into debt.One is called "Self": You sign up for $25 a month for 24 months, it reports to your credit as an installment loan... the kicker is that after the 24 months they give you back most of the money that you paid in.

For probably 90% of the people it does not provide anonymity, it doesn't protect you from liability, and it doesn't save you any taxes.