One big objection we hear from landlords is that they can cash out, pay the tax and make better returns than if they held a note. After the recent bank crisis, do you really trust the stock market? Even if you could do better taking the tax hit, will the money be there when you need to get liquid? With an installment sale, you are making a secure investment in an asset you already know and understand. And not only that, you can cash out if you need to. So give some deep thought to where you will stash your cash if you sell. Here is some more food for thought. The estimated take from the government could can be close to 40% when you combine Depreciation Recapture, Capital Gains and Income tax. Would you really rather invest 60 cents instead of an entire dollar? As I have said before, with the installment sale, you are earning interest on money you would otherwise pay in taxes. I hope this gives you a shift in perspective.