I am wanting to move out of my current residence, and because of other benefits such as the experience I'd gain and the access to a low downpayment, all signs point to house hacking.

Since your current portfolio is generating healthy cash flow, you might benefit from diversifying into an asset that provides a mix of stability and growth.

We should give them the benefit of the doubt considering somewhere along the family line we were all immigrants and these people may just want to have a better life for themselves and their families.With that said, there are a few things to consider:-What market are you in?

I don't see any kind of benefit to being setup that way IMHO.

Consider the Costs and Benefits: Legal action can be costly and time-consuming, so it’s important to weigh the potential outcomes against the costs involved.

The current tax code provides special benefits in this situation.When the original owner passes away, the "basis" of the assets resets to the market value at the date of death.In the US, there is currently an estate tax exemption of approximately $13 million per person, which allows the basis to reset, and depreciation can start anew.This “step-up in basis” is particularly useful if the next generation wants to sell the asset.Since their basis is set at market value, if the property is sold at that value either at the date of death or within six months, there is no capital gain and no taxable event.There have been many examples where portfolios of fully depreciated real estate worth tens of millions of dollars have been passed down from one generation to the next, resulting in little to no tax liabilities for their heirs.Pretty cool, right?

How have they benefited you?

I'm still in the learning phases, but trying to both stabalize my income and also figfure out how I could invest in real estate while working fulltime 40-50 hours a week.

As you can imagine the recent exits have lower average IRRs than the ones before, but did outperform proforma.We do have to agree with the comments on this string that our earlier exits did benefit from the 'all ships rising' effect.

If your expenses associated with the rented portion exceed the income, you may have a tax benefit if you are eligible to deduct passive rental losses from your other sources of income.