I would be happy to find a small, relatively safe multi-family that will generate 7-8% cash-on-cash.

Instead of a passive activity loss, here we will be talking about a passive activity credit - that is a credit generated from a passive activity (i.e. solar panels on a rental).The credit generated from passive activities will only offset the tax generated from income derived from passive activities.

@Joe S.You could build an ADU on the back to generate more revenue, turn it into a short term rental, or sell it.

@Dan Schwartz  I see a lot of huds in my work a day world... how lenders make up for safe harbor is junk fee's which they are not limited to.. most loans of this size will cost 4 to 5k to get funded... includes origination fee's and all the junk fees.I have not seen one under 3,600.00 total fees on the hud.. paid by buyer ... a lender simply cannot stay in business if they are not making 4 to 5k per file... they would close up shop and stop doing those loans if they could not generate that amount of revenue per file.

How many pdf reports can I generate with the Plus membership?

Memphis generates good cash flow tho.

At the time he sold it, $650 was the average rent - which have since increased.I dont know how to underwrite it since there is no income currently being generated and I dont understand what comps could be used.

It depends on the location of the facility and the demographics of the market as to how many late fees we typically generate each month.

Since you're paying for impressions on there instead of clicks, a small budget can generate a ton of interest. 

I personally have invested a small amount and have generated over 1,000% return in two weeks.