The 1% rule really doesn't apply here in California as we're more of an appreciation-based state.If you're willing to wait to see the returns until you sell, we've probably still got several years of solid appreciation in Sacramento / Stockton areas because of all the Bay Area migration into the Central Valley.

Yet I keep hearing about this 50% rule that half the gross rent will be put towards expenses... is this rule really applicable to Boston?

Burgers or pizza. 

I also when its someone new .. will google street view.. get the person answering the phone to describe what her office location looks like  or I will say hey is that a McDonalds across the street from you when I know its a burger king.. then the other thing I will do is make them recite some information on the hud that a scammer would not have access to.you simply cant be too careful.. millions of dollars a day are being lost in this manner. 

I'm looking for 2-4 unit multifamiles in the Houston area (no greater than 20 miles from central Houston) and getting anywhere near the 2% rule looks like a fairytale.  Just wondering if anyone is actually doing it here?

Also many old tools in walls over the years; usually tape measures (old fashioned kind that fold out like rulers), planers, levels, flat bars, crow bars, nailsets, hammers and such.

It's like the cashier at Burger King getting mad because someone wanted no onions on their burger, which just increased the likelihood the order will be wrong because it's not "standard."   

Always good to see other local investors, there's a monthly meetup in Marysville, WA at the Bob's burgers & brew.

Starts @ 7:00 PM at the Bob's burgers.

I didn't read this to ensure its accuracy but it certainly looks to be from a credible source. https://www.irs.gov/pub/irs-utl/33-Real%20Estate%2...Cliff Notes:Real Estate Professional Qualification • Material participation in each specific rental • Material participation in separate Real Property Trade or business • 50% rule • 750 hours rule • 5% ownership ruleReal Estate Trade or Business Defined IRC Sec. 469(c)(7)(C) Any Real Property: • Development or redevelopment; • Construction or reconstruction; • Acquisition and/or conversion; • Rental Activity that is not a Passive Activity; • Property management; • Brokerage activities.Example 1: Laura owns 5% or more of a real estate sales office • Works full time as a broker • She owns 3 rental properties and: • She finds the tenants; • Approves tenants and leases; • Approves and oversees repairs & improvements • Net rental losses are $31,000 and her modified AGI is $160,000 before the losses • Deduct the full $31,000 in the current tax yearExample 2: John acquires old homes and contracts 3rd parties to renovate and ready for resale.