It is now treated as a former passive activity and those prior losses can only offset income from that same activity going forward. 

Leverage your W-2 income for better loan terms, explore private/hard money for off-market deals, and network with investors to expand your deal flow.Good luck!

Be sure to explore all around the forums as well as many of the FREE tools that Bigger Pockets provides.I am on the lending side of things and am always happy to hop on a call to discuss loan options that are out there, even if not offered by my resources. 

I am Efrat Meiri, and this is the time to make the right decision 🌍 Visit the property  Explore more on my website 📍 Your future self—and your family—will thank you.

I agree with your idea of exploring the smaller surrounding towns in East Texas.

Rental Yields and Appreciation: Explore how Texas' rental markets stack up against comparable states.Legislation and Taxes: Property taxes in Texas are high.

If an investor has the time, knowledge, capital and experience to be an active property investor then there are a number of strategies , that, depending on the economic market can be used to accelerate wealth building.  

I use an excel sheet I created that includes the date, REPS category, property, description of activity/activities, the people / tools of the activity and the hours spent on the activity.

Depending on your risk tolerance and investment goals, exploring short-term Treasury Bonds, high-yield savings accounts, or diversified alternative assets like private lending or REITs could also be worth considering.

A legitimate wholesaler will likely have more off-market opportunities in the pipeline that you can explore/analyze.