Hey Gang - Kyle from Fargo here.   I've been noticing in recent months there has been chatter in the real estate and investment communities about a possible slowdown in the short-term rental (STR) market with some cla...

The last time I stayed in one, I was charged a large cleaning fee and then met with a list of what to clean prior to us leaving.

After waiting out a lengthy eviction and doing nothing more than a clean-out, we listed it with a realtor—and walked away with just shy of $200K in profits!

You will start to see if you want to do what they do.

Syndication Reporting IssuesMissing Form 8918 for reportable transactionsInconsistent investor disclosuresRequired registrations skippedWhat Doesn't Actually Matter:(Despite What Your Uncle's CPA Says)Special AllocationsNormal promote structuresStandard waterfall provisionsTypical developer promotesReality: Unless extremely aggressive, IRS rarely caresTechnical DocumentationMinor §704(b) gapsCapital account glitchesTechnical allocation languageTruth: Unless hiding something biggerProperty Value AllocationsNormal basis step-upsTypical appreciation splitsStandard promote calculationsReal World Example:🏢 100-unit apartment complex4 partners, $5M dealDeveloper promote structure= Zero IRS interestSame Deal With Red Flags:🏢 100-unit apartment complexHidden partner arrangementsArtificial loss allocationsUnreported debt shifts= IRS AttentionPractical Protection Steps:Basic Documentation✅ Clean operating agreement✅ Economic substance✅ Partner contributions tracked(Don't need War & Peace complexity)Economic Reality✅ Allocations match economics✅ Real money movement✅ Actual partner participationClean Reporting✅ Consistent K-1s✅ Required forms filed✅ Clear communicationThe "Sleep Well" Test:Can you explain your structure to an IRS agent without sweating?

Essentially I am looking for a clean way to organize everything as right now its very messy with how my current accountant is working things as he doesn't specialize in real estate.

Maybe it's conjecture on my part, but I think a good agent (good being the operative word) would have encouraged you to start by offering lower and saved you more than 2.5%. 

Stand out, be unique, and offer something of value that you would love if you were a traveler (cleaning service, amenities, a theme, etc.)Happy to help you find a place if you want some help on the agent side.

I've personally driven this neighborhood and was amazed at how nice and clean it is.

They aren't going to magically improve and start abiding by the lease terms but I think there is definitely a possibility that the situation gets worse.I think that's a good point.