If you have enough properties (or a large enough single property) to make good use of employees, I feel it is the smartest way to operate...as long as you A) LIMIT the types of work (to minimize injury risk...a worker's comp experience mod increase can put you out of business); B) pay what is necessary to attract a WELL qualified employee (NOT your typical "handyman"); C) are an efficient project manager, or are willing to delegate that task to the employee...and generally support his decisions/timelines.If you try to micromanage...you will have turnover, which will be more costly than hiring a contractor.

What financial independence says is that your are a sophisticated enough investor to take on larger and more profitable projects that are beyond the scope of the financially dependent.The key is that these new projects are within your control to choose now.Tim

He is also far and not in a position to really manage the project anyway.

Nothing wrong with that, just don't think you're gonna get a note at 6.5% for 30 years.On the plus side, you can get some nice corporate LOCs from many businesses that will help later on when you really need the credit for larger projects.

When I find a property with good potential I send it out with pictures of the property, floor plans, sales comps, rental comps, and a financial projection sheet.

Total rehab cost was about $16,000 on this project.

Commercial finance and Project Funding mainly.

Seems another is hastily put together projects by shady promoters trying to leverage the GO Zone incentives.

Income and Expense Statement - I typically include Projected income based on current occupancy and Actual expenses from the previous year with adjustments for any differences.

If there is no equity and they are in foreclosure, they may be short sale projects.