But that's the wrong question.

The numbers included:Purchase PriceRehab amount How it was financedThe financing cost and holding costClosing costProfit or cash flow Most importantly what went right and what went wrong.

The right manager feels like leverage, the wrong one feels like dead weight.

They got greedy and paid too much at the wrong time while selling us that a portfolio of properties is 2.7 time safer than buying one property. 

Sometimes IRS is right, sometimes they are wrong.

In writing (and signed), the terms were that I would file for eviction on the 16th (the first day I am able) but they need to be moved out by March 1st, get me January paid in full plus late fee 48 hours before the first court date (which I read within NC its 7 days within filing, could be wrong), then I would take security deposit for the remaining amount as allowed by law (February basically, but just stated it like that for legal purposes) and that I would also bill for any damages since there was no security deposit left. 

That mismatch creates pressure in all the wrong places.The risk shows up most when investors underestimate the impact of holding costs, refi hiccups, or delayed lease-ups.

The figure for without compounding makes perfect sense to me.For compounding, I took PPR's example, and calculated the annualized return:With the following numbers:A = $1,431,237.45P = $1,000,000.00t = 3This produced an annualized return of 12.68% over the 3 years with compounding.What am I doing wrong in this calculation (I'm certainly not a quant)?

There’s nothing wrong with using lower leverage to protect yourself and sleep well at night — especially on deal #1.

Start where learning is cheap, timelines are survivable, and you can afford to be wrong once or twice.Feel free to reach out if you need any help.