@Ben Einspahr What a great illustration of the power of leverage when used wisely. 

This illustrates the power of creativity in financing!!!

I went off on a tangent of my goals, but I felt it best to illustrate where I came from to where I want to go and because of these podcasts that I listen to almost daily, I feel ecstatic about getting there even though I feel alone in this in my home.

@Jay Hinrichs Maybe your story is illustrative of one of the differences. 

[the utility rate I show was for illustration purposes only]Good luck...its a minefield out there.

Chris,Here is an example which may better illustrate why UBIT is necessary and fair:Two coffee shops on opposite corners of the street.

I’d just like to throw in that the way you keep records and run the company AFTER formation is just as important, if not more so, that the formation documents.The whole point is to illustrate through documentation that you and the company are separate entities under the law.

So with my way of thinking it still has worse cash flow than the Midwest RE.However, it has the property appreciation which has produced a better return on investment for financed buy n hold in the fast appreciation markets than the Midwest has historically produced.I will use our best example to illustrate: Duplex purchased in 1999 for $375K at 80% LTV (to avoid mortgage insurance: at the time you could get financing at higher LTV), so $75K plus closing costs. 

It can be illustrated very easily using the question, "Would you rather have a penny, doubled every day for a month or a million dollars?"

Definitely illustrates the difference between Texas and Connecticut as Texans are not fans of over regulation.