I have the same question, but this issue is more complex when an investor has multiple investments in different states with federal passive losses carried forward from multiple states.I doubt that states intended to allow non-residents to not pay state income tax by offsetting state sourced income with non-state sourced passive losses.

Hi Ryan, I would definitely talk to a real estate attorney about the complexities and how this LLC structure would work.

I guess what is this strategy "selling" these apartment complexes on?

Congrats on this venture - new construction (for the first time) is incredibly complex and exciting!

I’m looking for guidance into investing into an apartment complex.

You can do it on your 2023 tax return though, with a complex procedure involving Form 3115.

Obviously, the sweet spot of Bloomfield Ave is between Valley and Grove St, and on the West Side of it.

You would still want to be sure to buy a nice home in a good area to ensure that you are not coming out of pocket for years to come, and will attract quality tenants.Option 3 could work, but I agree that maybe you wouldn't want to give up that prime location and that sweet low interest rate!  

In these short years have built a fantastic team in Quattro Capital, closed 10 apartment complexes during the global pandemic and continue to love collaborating with the whole Multifamily Mindset team. 

It tends to be the sweet spot in Detroit today because it offers the best risk-adjusted cash flow.