Purchase price: $490,000 Cash invested: $150,000 Property generates $4,050 a month income, rents are below market.

You don't even need an LLC for a rental property, especially if there is a mortgage on it.Make sure you have the correct type of insurance as your number 1 priority.My partnerships have a separate tax return and it issues a K1 for my personal return.

If you have not yet visited there, you should.

Adriana - yes, interest rates will be higher for 5+ unit properties and minimum down payment will be 25% generally (opposed to 15% - 20% on 1-4 unit properties). 

I have managed to get a couple properties under contract, most of them fell through due to a lack of investor interest.

A lot of people like to tout that private lending is this risk free business alternative to owning your own investment properties.

The core 4 consists of a realtor, contractor, property manager, and a lender.

There are good deals to be found in any market and you want to have a deal that you can physically visit regularly.

We can lend under 100k as long as the property appraises 100k+.

You can also consider doing a 1031 exchange to an out of state property or to multiple properties.