Quote from @Dylan Mortman: I'm trying to understand the amount of money that is either left in the deal or considered "gained" through a refi.At the highest level - What do I subtract from the big chunk of money I get from a cash out refi?

Adjusted Cost BasisTo calculate your taxable gain, you'll subtract your adjusted cost basis from the sale price.Your adjusted cost basis includes: Original purchase price Capital improvements (not repairs) Closing costs (some may be added to basis) Depreciation (if any, this gets subtracted if you depreciated the property while renting)💡 What Qualifies as Capital Improvements?

Understanding your depreciable basis:Imagine you bought a property for $2M.The land (excluding any structures) is valued at $400K.Since land is not depreciable in the eyes of the IRS, we subtract the land value from your purchase price to get your depreciable basis.Your depreciable basis is simply where a cost seg engineer starts from when allocating your eligible assets into either 5, 7, or 15 year property.In the scenario above, your starting basis would be $1.6M since your basis = your purchase price - the land value.Having an accurate land value is essential to getting your depreciation/bonus depreciation calculations right.This is the starting point for any cost seg study that you do.

On the NOI, do you calculate it based on gross minus the expenses or to subtract the mortgage rate on top?

2 - What will be the new exact CF on the first property when you add (subtract) the loan from the added loan on the first property?

I'm also assuming you're subtracting the loan payment from the cash flow (which is not the way most investors do it, but I know BP does it that way), is that accurate?

Find comparable land values in that area, that are comparable in size to this lot, with like amenities (say electric/water/sewer already on the lot), and subtract the cost of demolishing and clearing the existing structures.

If I lend 30K for 12 months at 12% I only walk out with $1600 if I subtract the attorney fee alone + any other related fees.  

Quote from @Ryan Mcintosh: lathrop mortgage is 2k a month with everything included at 3.74% interest rate. 600 profit a month.Modesto mortgage is 2500 a month with everything included at 7.625% interest rate. 1600 profit each month.both loans are conventional 30 year term loans @Ryan Mcintosh For Modesto, are you calculating NOI by just subtracting the mortgage payments from the rent?

I usually keep it simple at first—take gross rental income and subtract about 30% for expenses to get a rough NOI.