Similar thoughts playing around with leases and CAPX — essentially trying to stress test how much wiggle room there is in the deal from a cash flow perspective (and potentially in terms of pulling out equity on a refi a few years down the road).

Once that capital is repaid in full, the preferred return hurdle essentially goes away and the profit is split per the PPM. 

It is often measured as a % of sales to understand how expenses relate to revenue as a variable cost.

I had a recent opportunity with an old tired landlord essentially liquidating his portfolio - thing is he's asking market prices for his properties, they have a ton of deferred maintenance, locations are varied, and he offered a seller finance deal - 8.5% interest, up to 50k, up to 5 year loan term.

I had to pay an additional $500 for Vacancy insurance plus lost $5,000 in revenue, because an oven did not get delivered on time.

The trade off is that the funds are essentially off-limits until such time as you retire.A SDIRA is simply a means of investing differently and having the choice to diversify out of stocks and into something you know such as real estate.

Essentially he can't be expected to clear all snow from the roof and  the landlord is not responsible for the well-being of a tenant's vehicle. 

In this situation, could we set up a Land Contract such that my down payment would be used strictly to pay off the property taxes, and my monthly payments to the seller would essentially be equivalent to what I would charge a tenant to rent? 

Vacancy isn't an expense, it's a lack of revenue.

My title company has this for $5 a week, and essentially everything listed as a short sale falls in this category.