For example... if I were to increase the rent 1000 per year and decrease expenses 1000 per year... how many months or years would I be required to maintain this before being able to sell a property for an additional 20K in a 10% cap market?

In addition, if you don't make the payments, you're going to get sued.

I rent both units which pay for my mortgage and leave me an additional $200 a month.

However, since this bubble involved a HISTORIC runup in prices, I think you can reasonably expect things to be much worse this time.In addition, our country is at or near a crisis point.

After paying my mortgage I bank an additional $200.

So while I'm not going to say whether or not you should go through with it, I'll try to provide you with some things to consider when making your decision.Pros:You can get the payment off your booksYou can sell the property for full price, when it doesn't appear that there is much interest right nowAssuming you are requiring an option payment (which I would suggest), you will get some additional cash nowSo basically the Pros can be summed up in that you have the potential to do pretty well financiallyCons:Lease options typically require less landlord hassle, but at the end of the day you are still a landlordThey could trash the house and then not buy itThey could stop paying and make you evict them, costing you time and money (there is also the possibility with lease options if they aren't structured properly that the courts could deem them to be a sale rather than a leasing arrangement in which case you would have to foreclose instead of the less painful eviction).

They don't just operate in their own neighborhood, or even in their own town.In fact, if they are going out doing home invasions or other crimes, they are going to get into their car and go to where it is more porfitable.Just because they don't live in nice neigborhoods, doesn't mean they don't rob and murder in nice neighborhoods.In addition, the populatoion just seems to be getting nuttier all the time.

I'll bet all five of these houses are sucking several hundred apiece out of your pocket.

There are some costs involved here that many people don't think about including docking your boat on the main land when you go to town and the additional gas expense.

I don't expect any additional cuts by the fed.