Creative Financing Question

[Andy Milby]

I am looking into 3 duplexes and was trying to think of creative ways to do the deal. I’m curious peoples thoughts on structuring a deal this way: Assuming that the numbers are good here is how I’m looking at structuring the deal with the seller: Property 1: $90,000 Property 2: $90,000 Property 3: $1 My reasoning would be to get mortgages on the full value of the 2 houses then be able to refinance property 3 for a similar amount in order to fully leverage the properties. Here are the downsides that my accountant has identified: 1. Capital gains on property would be large - could defer with 1031 exchange in the future 2. Depreciation for property 3 would be non existent- however the depreciation would be offset since the sale prices of the other houses are higher This is my first real post so be kind. If there are other positives/negatives please let me know!