Additionally, offering to discuss any concerns she might have or exploring possible compromises can further demonstrate your willingness to work together for a mutually beneficial outcome.

It's to demonstrate to others how slick this marketing is.

Management experience can be especially valuable; I've had lenders that were particularly eager to finance my deals because of my extensive property management experience and ownership of a property management firm, since I can demonstrate competent real estate management skills and understand how to maximize profits on an asset, large or small. 

This will demonstrate how the property performs as a pure rental, and it forces you to save.

After new acquisitions I give tenants 12 months to demonstrate my value proposition as a landlord.

However, this is a difficult qualification to meet, especially if you have a full-time job outside of real estate.Don’t worry if you aren’t able to qualify for REPS status, because there is another strategy that is referred to as a “loophole”, which is the STR strategy.Per Section 1.469-1T(e)(3)(ii)(A): there are six exceptions where your rental property income is not automatically considered to be “rental activity” and thus may unlock the door for being able to offset these losses against your active income.The average customer use is seven days or less.The average customer use is 30 days or less and significant personal services were provided (for example, daily housekeeping).Extraordinary personal services are provided, regardless of the duration of customer use.The rental is incidental to a non-rental activity.The property is available during defined business hours for non-exclusive use by various customers.The property is used in an activity conducted by an S Corporation, partnership or joint venture in which the taxpayer holds an interest.If your property qualifies by meeting one of the exceptions above, the next step is to demonstrate material participation in the rental activity.

I wanted to share the financials after 3 years, and demonstrate what three years of real estate investing can achiev3 Bed/1 Ba Single Family Pro-Forma:Year 1 (2021)Income:Rent: $1,200.00Expenses:Mortgage: $509.95Taxes: $119.10Insurance: $43.84Cap Ex: $60Repairs/Maintenance: $60Vacancy: $60Monthly Cashflow:$347.11/mo or $4,165.32/yrYear 3 (2024)Income:Rent: $1,300.00Additional Pet Rent: $75Expenses:Mortgage: $509.95Taxes: $155.43Insurance: $53.03Cap Ex: $68.75Repairs/Maintenance: $68.75Vacancy: $58.75Monthly Cashflow:$450/mo or $5,400/yr (Total/Not 50/50 %)Total Equity: $37,473.88-Principal Equity: $7,959.62I have learned a lot about the systems needed in place to run a rental property, and how important picking the right tenant is. 

With Section 8 clients, I only want those who are demonstrating that they are participating in the world and working towards their personal success. 

So, if you secure just 1 or 2 bookings under 7 days, you could potentially meet the criteria, provided you demonstrate material participation and proper active management of the property.

A solid financial backing demonstrates reliability, making sellers more likely to accept offers from these investors over others.As fix-and-flip investors build a reputation for professionalism and success, they can expand their operations and take on more significant projects.