The easiest way to look at it is to trade equal or up in value and reinvest 100% of your cash equity, and the difference will be the correct amount of new debt to put on your like-kind replacement properties.

That seem to be reasonable and correct.

You might get some tax savings if you correctly declare the income and the expenses.John Corey

Now I was wondering if I take care of the current loan on the house and assume her taxes what would be the best route to take?

More important is to then operate correctly.

More correct, it is the way you listed it.

If my calculations are correct new profit would be around $40KDoes this look and sound correct.Any assistance would be greatly appreciated.

May not be correct, address may not be correct, but its a place to start.You can try just sending it a letter with forwarding requested and see if it goes anywhere.Its probably not a foreclosure if its been abandoned that long.

If your numbers are correct, it sounds like a deal.Yes you can do a double close and yes you would have a contract with the seller and a seperate contract with the buyer.

But there are plenty of properties out there where you can make WAY over that 11% and the risk is probably lower that you'll lose if you correctly run the numbers.