Quote from @Paul Azad: Seeing many new opportunities for us passive investor types, including "Preferred Equity funds".

The only difference is that there might be an explainable rationale for holding on to a property, such as a well-founded belief that equity gains are coming (such as owning a house in a rapidly growing area or property where the next commercial boom is headed), whereas with gambling your odds never change regardless of your losses.

For the purpose of, say, minimizing capital gain in the same year. 

Very passive and took about 6 years to have received $1m in distributions.  

All the purchase transactions i deal were investor centric and Passive income oriented.

I'm setting up our Safe Investment under the Passive Investors today. 

There are a ton of Facebook pages you can gain insight and possible renters from. 

At the early stages, the more control you have over your real estate, the better returns thus I recommend investing locally to make your dollar go that much farther and gain a good familarity with real estate before exploring out of state investing.

I'm just wondering how to handle the capital gain tax between me and my partner.

If you use this setup you will be turning passive rental income into active income which means you will pay higher taxes.