All it will accomplish is create a $800/yr tax bill from your lovely state.As to your question, read this thread:https://www.biggerpockets.com/forums/51/topics/1225072-do-i-... 

In most cases, neither is warranted.Warning: I am not an attorney, and this can be a complicated topic.

Quote from @Jamie Banks: Here's a few things I include in my MTR lease- Utility caps- Outline of the furniture that is included- Details regarding which utilities are included- Outline who is responsible for lawn care / snow removal- List of fees (admin fee, cleaning fee, etc) Hi Jamie! 

The topic at hand is what is actually more of an issue than anything else Sub2 unless it’s the insurance.

., repairs, management, communication with the seller).Exit strategies in case things don’t go as planned.When you do find the right partner make sure to create a joint venture agreement that outlines all of this clearly.

Hoping to connect with some great people here on this topic! 

ANDAt least 5% ownerYou might want to check out this thread with sample REPS Log / Activity tracker that meets IRS guidelines https://www.biggerpockets.com/forums/51/topics/816680-real-e... 

Work with a real estate attorney to draft a formal agreement that outlines responsibilities and protects both parties. 

I actually read one of your posts on this topic years ago, which influenced me to carefully choose the right market.  

Hi everyone who replied, I didn’t think anyone would see this so sorry that this is late.Yes it was clearly outlined that the budget was $15,000.