If you're a 5% owner for only part of the tax year, then only the services performed during that period count toward qualifying.Also, it's important to note that the Tax Court has held that merely being on calls doesn't meet the 750-hour requirement.

But upon looking at court records this person has multiple driving violations and charges of criminal trespassing.

Technically the tenant could contact escrow and instruct them to stop making payments, but the money would then be held by escrow until both parties agreed upon forward action or a court ordered action.

I realize residential financing doesn't currently allow for this and pulling money out down the road could be more complex or strictly in the commercial lending realm.Any and all feedback is appreciated!

This is different if you own a 100 unit complex and need an onsite manager, you hire the person knowing they are hired as an employee and will have a place to stay while they are there..

Quote from @Chris Seveney: Quote from @Stuart Udis: I continue to see more and more posts suggesting real estate investors should go from buying 2-4 unit buildings to buying larger apartment complexes.

The OP said the tenant was evicted through court, so I assume they have a judgment and can turn that over to collections.

Many people say "I know for a fact none of my family has judgments" but family members regularly do not discuss their financial problems with other family members, may be unaware of legal issues and their standing, and there also could be fraud.You should also consider any prior spouses among the parties that ever lived at the property as a marital interest attachs regardless if they were on title unless resolved by express court decree (in which case former spouse should join the conveyance).An attorney is not required - though you will need a properly drafted deed, GITREP form, and affidavit of consideration to record.

Form an asset protection plan that's so complexed it must be described in flow chart form and must include a Wyoming LLC, otherwise what's the point if they aren't "anonymous"?

My goal is to leverage my wholesaling experience to learn the ins and outs of the industry, and eventually scale up into more complex investment strategies.