Most landlords want to know how it’s possible to get paid more and have their freedom too. Let’s walk you through the basics. The reason why taxes are so heavy when you cash out of a rental is bc you have to pay Depreciation Recapture Tax as well as Capital Gains. When you sell using the Installment Sale Method, you only have to pay the Depreciation Recapture and Capital Gains tax gets deferred. In New York State, you will also have to contend with income tax on your gains, but that also gets deferred. You will only owe taxes on what you earn. So, if you take a deposit, and receive payments the first year, you will pay Capital Gains on that small portion. Yes, you will have to pay tax on the interest, but you will still make more in the long run. You will have paid all your taxes and wind up with what CPA’s call “Surplus Earnings”. What this means is you will have paid all your taxes and still wind up with extra cash. I will show you this in lesson 9. So stick with me.  Stay tuned!