For example, a builder will construct a retail establishment for an owner, and the builder will receive a percentage of the gross receipts for a specific period of time.

I think the fact that everyone has a dramatic story to tell as an employees is suspicious but it's fun entertainment value to watch.It will be fun to see all the drama next week when the show airs............. : )  

If we are working on appreciation gross monthly rent /price ratio may be as low as 0.8% If we are working on cashflow it should be between 1-2% I am targeting good areas with possible appreciation at my back yard, so I am good with 1.2-1.4% and this is buy and hold.

Small company 75-80 employees and although I can just about make my own schedule here now --- I have  reached a cap in potential growth.The current job pays OK for my age but I am (like everyone) looking for more.  

This has kept my expenses/repairs very low in the beginning - although they will go up on average over time - but they throw off enough cash flow to build big reserve cushions.. and some for me :) $7K in gross rents and <$4K/mo in PITI @ ~ 10% average downpayment (In the Bay mind you!)

Plus it will allow me to expand and hire a couple of employees if need be.How's the real estate business doing where you are?

The total asking price for all properties is about 1.4M with a current gross annual rent of about 228k (all rented and cash flowing except for one property, two of the properties have a "rear" house with it).

You will pay standard tax on your monthly salary but the quarterly S-Corp distribution is not looked at as employee wages so you will not have to pay social security or medicare tax on this distribution amount"Makes sense later down the road, something to think about.

I've read quite a bit about the Raleigh Durham area RE market blowing up because of all the corporations that continue plans to move/grow there; the eye catching announcement a while ago being Apple with their 10 year plan of adding a few hundred more employees each year.

At its current rental rate, it is grossing after taxes, insurance and 7% mgmt, 18% cash on cash.