My plan currently, is to start small with high cash-on-cash returns to learn and build equity, then re-invest in bigger properties.

I've learned that the unexpected always happens, whether it's delays or unforeseen expenses, so having a system in place to monitor finances regularly helps make adjustments before they become bigger issues.

Anyone having an issue with the forum not being in chronological order? I have to scroll down to find the original post, so I’m reading the responses before the actual post.

I see you’re not a long-term user of bigger Pockets. 

Second, the investment may have been made anticipating a chance of failure; for example an investment may correctly analyze that it has a 50% chance of a 25% ROI, a 35% chance of a 50% ROI, and a 15% chance of a 50% loss.  

I know that sounds weird, but you build wealth faster on bigger properties due to higher rent prices, bigger loan buy down, tax savings, and appreciation. 

More work with more risk but can get you going if limited funds until growing into bigger deals.I am still on this site but stay very busy so not on here as much. 

I've been researching whether or not doing a cost segregation study would be beneficial and while I don't think I could use the bonus depreciation for 2022 taxes a recent Bigger Pockets Money Podcast (#360) https://www.biggerpockets.com/... talked about carrying forward the paper loss for coming years and the benefit of doing one now as there is still 100% bonus depreciation which will decrease in the coming years.

We resolved them by constantly reminding each other about the bigger picture (the profit we can make and how we can scale) and having full transparency.

Problem is only "RE pros" get to do it.There are 3 income classifications in the US - Active, Portfolio, and PassiveActive income is income derived from your job, or normal trade or business.Portfolio income is derived from bank instruments - stocks, bonds, etc.Passive income is income earned from investments.Active losses can wipe out both passive and portfolio income, but it doesn't work the other way around.Portfolio (capital) losses are limited to $3,000 annually.Passive losses can only be offset by passive gains.Real estate rental income by its nature is deemed passive per IRC Sec 469One way to get around it is to become a pro - spend more than 750 hours or 1/2 your time in real estate.But most folks aren't real estate pros.