It works like this:(1) Save up enough money for a down payment(2) Buy a single family home that you will Airbnb/VRBO(3) Ensure the “average period of customer use” is <=7 days(4) Materially participate (5) Cost segregate the property, resulting in large depreciation deductions(6) Use the losses from step 5 to offset your W2 incomeWhat makes this possible is that operating an STR is considered “non-passive.”

Decide on what you'd like to focus on as a first step. 

Not only that he gets stepped up basis and sell with no tax  double check that with accountant but I think that is correct.. then take the cash put it in 5% gov bonds for now then get up to speed and see what you really want to do. 

Hi- New here - realtor interested in building portfolio.Does BP have an actual course that walks one through step by step on how to invest in various ways?

@Laura Casner, personally, I try to step back and think about why I am doing this, as others mentioned.  

Like Patrick mentioned, I’d say starting with a long-term rental might be a better first step.

Quote from @Jonathan Greene: Quote from @Jonathan Klemm: Good call out @Jonathan Greene - @Moderators need to continue to step up there game, but there are obviously limitations.  

It really helps me with a real 'picture' of step by step events.You're welcome!

When I went through this process, I found guides like this one super helpful for breaking down steps and understanding what to expect.

And then you have to take steps to keep them from being pierced like @peter mentions?