The data is dumped into massive databases and the databases then use logic algorithms to sift and sort and attribute the data.

Also, you will have to file 990-T every year that you are collecting rent on the portion of rent after expenses attributed to the debt...look up UDFI but you need a tax guy for that as there is a formula.

That means that even though cashflow-wise, I am in the same position as I would have been by renting, I have increased equity in the property (net worth) of $7,500.(2) Unlike rent, everything else I pay for is a tax deduction with the exception of the portion of some expenses attributable to my personal use of the property (the 12.5% of the property I use myself) rather than my business use of the property (the 87.5% of the property that I rent out to others).

I feel like I have so many more attributes I need to put to use and working for "the man" severely restricts the freedom to use them.

There is no way to attribute the increase in value to any particular factor.  

You should always be thinking of what you can be doing now that leverages your current strengths in ways to expand your skill set.If your biggest attributes are time and motivation; working for a real estate agent might be a great way to gain knowledge and experience.

Those that have gained these attributes have all been where you are.By saying "see an attorney" I don't mean just ask pointed questions.

I attribute this to the dogged due diligence that I take before I close. 

when I look back one of my best years in buying foreclosures was 2004.. now I attribute that to the fact that the internet had not fully taken off Regarding RE.. so you still needed to have those particular set of skills that I learned from the 1970's on... now with the interenet its flooded the market with investors who here to fore would have never competed with me as it would have been to tough and complicated.Even BP is  perfect example of free on  line training.. for better or worse depending on your perspective.

The portion of the mortgage interest allocated to the rental unit is deducted on Schedule E.If you sell for a profit and meet the 2 of the prior 5 years ownership and occupancy rules, you can exclude up to $250K per taxpayer from the portion of the capital gains attributed to your residential unit.