. - Annualized ROIFor Rentals that wehold in our portfolio, that were perhaps once BRRRRs, I analyze based on ROE -Return on Equity

But as soon as your day job annual income exceeds $150,000 that goes away....Is there some box on Schedule E to check that tells the IRS that I am a "real estate professional" which magically undoes the Passive Activity Loss rules? 

I like the idea from @Clayton Silva - increase rent annually to get the amount up to market.If you have a paying tenant with a long, good history, consider the cost of her moving: You lose at least 1, maybe 2 months rent.

So I am not the smartest person and some of the helpful replies in previous posts was above my mental capacity.My situationI own a home (homesteaded in FL) and have 2 roommates which help pay the bills.numbers - mortgage left 155k, home value 330k, current interest rate 4.125% on conventional with 24 yrs left on a 30 yrmonthly payment with HOA $1600 pcmI am wanting to either1) turn this primary residence into an LLC and purchase another property to move into and start the process again with the aim being to rent my current house out on an annual 12 month lease for at least 2 - 3 years as I was told that as long as I lived in it 2 out of 5 years I can then sell without paying capital gains (though this confused me and anyone wanting to teach this to me like im 5 years old would be greatly appreciated).

The property obviously cash-flowed although not as desired.Kelly ReviewMy experience: Bought: March 2021, $64,900 Sold: April 2024, $48,500 - $5,000 (agent fees/closing fees/etc) = $43,500 Rental income (rents - expenses): $5,600 Average annual returns: 2.9% (approximate) Net loss at sale: $15,800Positives:It was turnkey, but: a.

Typically, in the deals we do, we are looking for the following:5-year hold6% annual cash-on-cash returns60% profits upon sale Sticking with the previous example, you’d invest $100,000, hold for 5 years, collect $6,000 per year in cash flow distributions paid out monthly (a total of $30,000 over 5 years), and earn $60,000 in profit at the sale.This results in $190,000 at the end of 5 years – $100,000 of your initial investment, and $90,000 in total returns.Almost double your money in just 5 years?

Giveaways include:Pro Annual membershipsBiggerPockets Bootcamps enrollmentYour choice of BiggerPockets booksBiggerPockets swag!

Also, I found a condo 2bedroom 2 bath with an annual HOA.

Requires that you spend 250 hours on the real estate annually and keep contemporaneous records of time spent.

One reason I am looking back to my country (USA).Regarding finances - annual cash income, jointly with spouse, 200-250k.