But there are other tests and if planned correctly, you don't need these two tests or even track hours the first year if your participation is substantially all hours.

This is not correct. 

Learning how to use the correct tools and materials for a job, YouTube videos and even ChatGPT will help you get through 80% of the problems you will run into.My rule was I would not mess with HVAC, plumbing and electrical Or if it would take more than a few hours. 

3 seperate buildings, parceled as 3 seperate addresses so investor can get single family financing on this, is that correct?  

If I read the story correctly, your client did not report rental income.

If I understand correctly your siblings goals are to sell their rental properties, use the funds to purchase a primary residence they'll eventually move into, and limit their tax liability correct?

Is that correct?

What type of properties are you looking to add to your portfolio, I'm assuming SFRs, is that correct?

Though many investors bend the rules and possibly don't get caught, you have the financial situation to do it correctly.

Perhaps that's the correct option if you are selling a SFH to a home owner that has unique design characteristics but not in the context of what you are facing.