I love the way Traction takes principles that have worked well in Fortune 500 companies and simplified them for use in our real estate companies.  

Know the ins and outs and simplify it so they can understand easily.

I think they really did a great job simplifying the process and removing all the inefficiencies in mortgage industry today...

But, if your looking to simplify and play it safe and don't know the area very well you might want to just focus on non-flood zone areas. 

Recently loosened regulations and a simplified permitting process have made ADUs popular in my area.

That's a simplified version, Lee, but I think for most new investors trying to break into this business on a shoestring budget, and that's most of us, cooperative assignments are the best strategy to use.

And it has also simplified my work load.

I am over simplifying here, but you pay $1mm for a property, hold it for 10 years and sell for $2mm, you pay $1mm for a property, hold for 30 years and sell for $2.5mm. 

After awhile it adds up to a crazy patchwork.I would definitely pull all that out and simplify it, unless you feel you need a heated toilet.

This would convert the sale into an "installment sale" in the eyes of the IRS which would spread the gain over the period of the sale.Theoretical example:Purchase price: $10kRenovations: $0 (to simplify)Sale price: $20kNote: 8% over 10 years with 10k down. $10k sale price, $121/mo for 120 months.Period between purchase/sale: 6 monthsSince the note is over 10 years would the payments beyond year 1 be taxed at capital gains rates or my regular income if this were held in an LLC?