I think it's fair to say it's beyond normal wear and tear, but I'm not sure how much is fair to say "I'm going to have to deal with this somehow, and because of the scratches I'm deducting x." 

Then just use a normal couch.

Quote from @Havital Miltz: Normally you would set the LLC in the state where the property is.You have no tax benefits for setting up an LLC, it is more a protection from lawsuits and going after your personal assets, however not a guarantee....As a husband and wife you do not need to set up a partnership - IRS has special considerations for married couples for self employment, you could also apply that for a rental...Hope that helpsA joint venture is available to any 2 people co-owning real estate for investment purpose as tenant in common  under Proc. 2002-22 (unrelated to marriage) but it can't be owned in an LLC together. 

Normally you can get up to 10 conventional mortgages before you will need to move towards the DSCR. 

3X is a GREAT entry for most as long as it's not a sinking ship or with crushing overhead and miniscule margins. 4X-7X is a normalized range for acquiring many different business's.  3X earnings?  

Hi @Jose SaladinThe deed would have to be transferred into your name like a normal RE closing + closing costs and other fees. 

Is the normal practice in wholesaling to analyze a deal -> find a buyer -> then offer the price to the seller and form agreement?

The odds of default go up significantly for those who have no skin in the game.

It was possible from maybe 2020-2022/3 but now it has normalized. 

I'm actually not leveraging bonus depreciation at the moment, and am looking simply to offset normal expenses (including standard asset depreciation) against non-passive (W2) income.