Active management vs. passive investment is one of the main differences between a DST and a 1031.Understanding the Differences Between DSTs and 1031 ExchangesInvesting in real estate often involves exploring various strategies and tools to maximize returns and minimize tax liabilities.

Thanks.the key to achieve great result is not maximizing rturn but minimizing risk.Chris is right when key is diversification. 

Minimize expensesMaximize income is a distant 4th.

As others have mentioned this is a lot of risk with minimal upside, I am not sure it’s the best investment in my opinion. 

This method not only ensures efficient funding during construction but also minimizes interest payments, given that construction loans typically extend over 12-18 months with interest-only payments.After the first year, my expenditures are as follows:Land: $200,000Construction: $600,000Interest: $60,000Total Investment: $880,000Here's where it gets interesting.

Consult with legal professionals to ensure compliance and protect your interests.Emergency Fund: Maintain a reserve fund for unexpected expenses, vacancies, or periods of economic downturn.Regular Maintenance: Implement proactive maintenance measures to preserve the value of your properties and minimize the risk of costly repairs.Long-Term Perspective: Adopt a long-term investment strategy and avoid making impulsive decisions based on short-term market fluctuations.

They approved my loan for $150,000 with minimal documents and they are asking for a 1% origination fee before they can transfer the fund to me.

Some are for-hire independent contractors, whose services an investor could enlist directly, typically for a relatively minimal cost.

The paperwork you need should be available online and cost to set up is minimal or free.

If so, how can I minimize the rebate I give them - if the rent is say $5000, do I say fridge is $100 and dryer is $150 so ok you can deduct say $(250) * 2weeks/1month = $125. or do I say ok send me your bill for food and laundromat and you can deduct that full amount (that will be expensive I guess).If I'm not liable how do I reply that doesn't have ramifications.