These wash out loans are useful in LIRP setup when you are using loans during retirement for income.With IUL you also have many companies offering variable loan rate that most of the years will have lower interest than the gain in the policy.

In an average year I spend 2-4k on direct maintenance, I have spent another 20k over 2 years rehabbing units at turnover time to generate higher rent, repairing the roof, and new coin washer and dryer for the shared laundry. 

The same as a steel mill or a hotel or a car wash. 

(wash/dryer/ fridge / maid service. etc..) 

I'm selling my apartment furniture in Tucson, AZ from my airbnb for a 2 bedroom / 2 bath, this includes a full living room, bar stools for the kitchen, a fully stocked kitchen, and laundry room.

Many people will think I am conservative with this but I do not agree.Vacancy at 5%.Insurance: I have no units in Santa Monica but I will use $150/month but I am sure others could provide a more accurate number.Maintenance: I have no units with this mix but I think $150/month might be close.Utilities for laundry room and ?

Blue tarp on the roof, lots of trash in the front yard, and it's very apparent that the house has not been washed or painted in years. 

So unless you speak directly to the previous landlord, you wouldn't know.If I'm wrong, I don't believe I'm far off from the truth in this matter.Also, how long was he on this "steady good paying job"?  

As soon as waste starts washing into your field lines, your days are numbered.

I think it pretty much comes out as a wash for the most part as far as taxes go.