Taxing an LLC as an S-Corp is done as a tax mitigation strategy, because he avoid the double dip of straight C-Corp taxes. 

Hey MarcusThe 2% rule and 50% rule can be found in the beginners guide here on bigger pockets.The 2% rule basically says that for rentals you should be able to rent out your house for 2% of the purchase price each month, i.e. for a $100,000 home you should be able to rent it out for $2000/monthand the 50% rule basically says that over time 50% of your monthly income will go towards expenses (i.e. taxes, insurance, vacancy and repairs)While im not sure that the 2% rule is necessary for SFH since joining bigger pockets i have found that most serious investors dont operate on less than 1.3% and that the 50% rule can be cut to 36% if you are managing it yourself as roughly 14% goes to a property manager (but you should still want to pay yourself as a property manager)i would recommend reading the beginners guide it has a lot of helpful info on this subjectNick

Sad to say, but I completely forgot that the bathroom exhaust vents straight into the attic with no piping outdoors.

ROE & cap rates are always a bit variable, but GRM is straight forward, even if lacking in sophistication.

To be honest, it never occured to me to check on utilities when a tenant moves out.Check that your locality is allowed to add liens to your property, if you had not been in possession of it when those charges occured.In Georgia utilities are not allowed to do it, but yhe water company does it routinely and will lie straight into your face until you produce the law.

It sounds like you have a reasonable income so if you work to cut back on your expenses to save as much as you can you can be on the road to investing soon.

Guys, thanks so much for setting me straight on this.

He told me straight out that every five years it will be adjusted to whatever the current rate will be, I believe this is pretty standard for Commercial financing.

Originally posted by Gracy Josh: The lease contract says 2 months notice + 1 Month rent as fee for early terminationOkay well sounds pretty clear cut that they owe you 2 months plus the fee.If you rent it in less than 2 months then you should refund the rent part as you can't really collect rent from 2 parties at once.

Example I put a trashed property under contract then I pay someone to go in their and clean it out, haul the trash off, cut the grass, maybe replace the broken glass in the windows, Paint the door, clean the gutters out.