This means if you rent it out and sell within 3 years of moving out.....the gain is tax free....do the same but sell in three years and a day, full gain is cap gains tax.

Term is certainly the best bang for the buck and you'll pay less than you would for whole life, but you will gain no cash value and, if you die after the term is over, no money is paid.

Hey guys and gals,I'm currently smack bang in the middle of a flip here in Dallas and my plumber that came recommended keeps bailing on me and never showing up after agreed start dates ect.

If you live there 2 out of the last 5 years as your primary residence, then your cap gains will be tax free (up to $250k for singles or $500k for married couples) ... to be clear, I think you probably should NOT sell at all, but if you do decide to sell, you need to be aware of this rule for timing as it could save you 10's of thousands in cap gains taxes.

TOTAL = $2343This results in a whopping 3.3% CoC return and a CAP rate of 7.41% which doesn't even beat my assumed interest of 7.5%.

We are trying to look at numbers, I understand that cap rate is not all it is cracked up to be, but what are properties like this trading for on average right now?

First, I agree with a target of 15% to 20% annualized return for value add properties is a good minimum target for real estate.Two thoughts on the apartments:A lot of apartments have been purchased on pro forma for converting to condos where they assume a purchase of $100,000, add some for condo-ing and fix up, then sell for $150,000 or more.Or, If it's an institutional buyer with all cash, a stable 4% or 5% cap rate with possible increase may work to make sure they have some residential in their portfolio mix.If I missed your question let me know.

I'm interested in purchasing a multi-family, $2M, > 80 doors, cap rate 10%.

That's why cap rate is so commonly used for commercial real estate.

Wasting beer is a sin... but so is gettin' a cap busted in your a$$.