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It's a tax shelter vehicle. Many many tax benefits.
If you live in in 2 of the last 5 years and you are married you can exclude up to $500,000 in taxes and $250,000 if you are single
interest is a write off, the house can be depreciated
land improvements over 15 years, personal property over 5 years
the house over 27.5 years.
Many people are getting 1-2% option ARM loans
therefore if you buy 5 properties at 2% rates
and cashflow $1000/mo on each that's $5000/mo cash flow
today, now in reality it's not as good of an investment as it looks
but people get talked into it by loan officers
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