@John Zhang If your wife qualifies for Real Estate Professional Status (REPS) and materially participates in managing rental properties, there is no limit on the amount of rental losses, including depreciation, that can offset your W-2 income.

We have seen a lot more of our investors selling their rentals than ever before in our 5 years as a company due to increasing costs across the board. 

So I require skin in the game (average is 5% to 15%) to offset this.

You'll also need to know your rights because the Review Boards often try to intimidate owners.

On top of that, hiring tribal members for construction or operations could qualify for employment-related tax credits.

(And then any state implications)Given this isn't pennies we're talking about- working with a qualified professional to help mitigate the tax would be your best bet. 

You should take a break from buying if the deals don't match your buy box, you are out of money, or for several other reasons (partner isn't on board, over-leveraged on different properties, acting out of FOMO, etc.).

Very generally speaking the areas of Hartford and New Haven where you can hope to attract qualified tenants (assuming that is your goal) are very expensive because most of the people with something to lose that live in these cities generally live in 2 or 3 areas.

Why not use bank debt or alternative lender debt if you don't qualify yet for bank originated debt?

If you are looking to buy in PA, its possible you can qualify for PHA KFIT program that gives you a 5% closing cost forgivable loan.