There are several different types of income in the US tax code.Two main types are “active income” and “passive income".Active income is money you earn from working, such as wages from a W-2 job or income from running a business.Passive income is money you earn from investments like real estate, stocks, or rental income from your RE portfolio where you earn $ without actively working.Normally, you can't use passive losses (like losses from real estate investments) to offset active income like your salary from a W-2 job.That is unless you are an RE Pro.The reality is, that Real Estate Pro status is just a filing status similar to filing married or jointly.And if you are a real estate professional you CAN use passive real estate losses to offset active income from other sources.To qualify as an RE Pro you must:1.

You would run into many issues with raising rent etc. but this is how a look at most of my rentals.

I had a tenant that wanted to renew a lease, but only for 6 months - which would have left us in the middle of January (in Michigan :) Apparently they may inherit a somewhat run down house, and wanted to keep their options open.

Everything is speculation but there are people who knows more because they run very similar things.

Small multi are great investments but typically you will not have a home run out of the gate.  

This could help smooth out cash flow in the long run by locking in a lower rate and reducing future payment pressure. 2.

Quote from @Scott Tennell: For real estate investors who have worked with private money lenders, what strategies have you found most effective in structuring deals to ensure both parties are protected and the funding process runs smoothly? 

Are you finding the funding process smooth, or do you run into challenges?

When it comes to electrical, I don't want to run the risk of shotty work and causing a fire.

Thanks for the heads up I didn't see those other posts.