Like all income related to real estate sales, the payment is from broker to broker, and disseminated to the licensee under the terms of their independent contractor agreement. 

This level of transparency will allow for very clear auditing by any member of the Investment LLC, as to what the construction owner is clearly profiting on the project aside from hard costs of the project.

With the tax return you file send a cover letter to the IRS requesting an audit. 

Im sadly here to tell you that under audit, and we have 100s of court cases to back this up, that this WILL NOT FLY.

One could also base it on an independent appraisers report or other basis that can be reasonably justified. 

In the quest for financial independence, real estate investment emerges as a beacon of opportunity, offering paths to wealth that traditional saving methods seldom traverse.

You can learn to do this independently or get a rockstar REALTOR to lead the way.

You can learn to do this independently or get a rockstar REALTOR to lead the way.

I've discovered Madison, Morgan, and Limestone counties are the place to be in depending on your exit strategy. 

During the rental process, we independently keep track of: The leads who contact usNamePhone numberEmail address (if provided)How they contacted us (Zillow, Trulia, CL, Hotpads, etc.)Any other details we deem pertinent.It may be overkill, maybe it could help us prevent and/or investigate/report this kind of fraud if we need to.It sounds like we need to step up our game the next time we list these properties.