Essentially you are creating future tax free income by being able to roll over these losses.If your income is between $100,000 and $150,000, a portion of that $150 loss is deductible and the rest rolls forward.If your income is less than $100,000, your loss is fully deductible - and THAT's the cool thing about rental income. 

Advanced options like a charitable remainder trust can provide tax deductions while avoiding immediate capital gains.This post does not create a CPA-Client relationship.

And NEVER put a property in an S Corp.It's like getting in the weeds and creating LLCs to start a business...just go get a customer to pay you money to do something and figure the rest out as you go.  

Quote from @Justin Jefferson: Hi my goal is to also create ownership and build my assets for the future.

There are companies with the customer best interest in mind.

I especially like the point about not trying to talk the seller down by creating a list of flaws.

However, this does not impact the sale proceeds.This post does not create a CPA-Client relationship.

It's a balance of cashflow and wealth accumulation.One of the goals is to have tenants pay as much of your cost-of-ownership as possible (loans, taxes, insurance, etc.)In high-cost areas, any Class A or B property you buy will usually negative cashflow for the first 3-5 years, until rents rise enough to cover the negative cashflow + rising taxes & insurance.Investing OOS increases your risks because you may not know the market and you can't check on everything/everyone all the time.If you move forward with your buddies, HIGHLY recommend creating a solid Partnership Agreement!

I'm looking to create my own wealth and build something for my family. 

I would also suggest using Pricelabs to create a comp-set and filtering for 29+ days to see the listings in your market that require 29 or more days.Here is a great article: https://help.pricelabs.co/portal/en/kb/articles/using-pricel...