At this point, she may be counting on you for the income on this particular deal.But I would still put the proposal out there to her James !!!

Depreciation recapture, income taxes on the depreciation taken, are due upon the sale of the property, regardless of sale price.  

This property was my only source of income.

I share the details here to show what a series of small low-risk transactions can do over the medium and long term to build passive income for retirement.The PA is for a 1 BR condominium unit in a 150 unit complex where we already have 22 units, bought in 3 earlier transactions.  

We tend to focus on demo's that are 75,000 median income or higher unless a college town.

So hoping to put 20% down and pay mortgage in full with income from roommates.

I am looking for SFR properties to flip to retail buyers, as well as have a wholesaling campaign to supplement my income.

We only moved the toilet about three feet to the shower, so it's not like it's long distance heavy lifting to put it back, if they want.108 year old house, FHA and HUD and income taxes didn't even exist when it was built.There was also some other little stuff that was a few hours in an afternoon of work for the buyers.

I have had this burning desire for a couple years to start back flipping homes and then would like to rent for positive income to fund my flips.

. $804.03 PITI $41.67 Sewer bill $146.50 Property Management (self) $146.50 Cap Ex $73.25 Vacancy Rate+$58.60 Utility/Misc$1,270.55- NOI-$1,465- monthly rent$194.45 Net Profit Income per month x 12 months = $2,333.40 Annual Net Profit IncomeTotal Deal Appreciation: $14,000- (38.25%) ARV was $101,000 Depreciation: $2,345.45- (6.3%) Amortization: $984.58- (2.68%) 1st year loan pay down Cash Flow: $2,333.40- (6.64%)*Property Management: $1,758- (5%) I self managehad script issues with bp website, could not rotate pics.