This tax applies to rental contracts entered into on Jan 1 and after. 

Quote from @Brian Gaiss: Hello, newbie to real estate investing, but looking forward to learning and networking with like minded individuals.

As of March 2024, this is what I've learned: --> He states he only enters into deals that are projected to earn no less than 25% return, and says he's averaging about 36% return on property investments. 

My initial question is… Is it good or bad to have individual septic for each mobile vs one big central unit??

i do think it's challenging, though, for a brand new investor with zero experience to jump right into a huge rehab with a contractor they've never worked with before.the contractor might want a larger up-front payment to mitigate their own risk, and they're not going to be interested in any kind of fancy nonsense like a 'penalty' when they know a new investor has never managed a large project before.i have also found that some contractors, including reputable ones, don't even want to share itemized bids because they just don't want to have to argue about the individual line items. 

A lot of sitting capital will re-enter the market. 

My best advice would be to read through the contract carefully (builders usually have their own individual contract that's written for them and is leaning heavily in their favor).

Separate LLC per Property: Maximizes liability protection but adds complexity and costs with individual tax filings.3.

@Nold R.In addition to the great post from Dave, possibly consider an option where the property is taken out of the LLC sooner rather than later and held as tenants-in-common prior to the sale, possibly setting you up in a position to take your share of the proceeds and individually purchase a replacement property via 1031 exchange. 

As a self-employed 1099 individual, your best route is most likely DSCR.