The IRS is very clear about the distinction between the two scenarios.  1099 subcontractors provide their own tools, set their own schedules are not directed by the hour. 

We focus on layouts that feel spacious but still define distinct areas for living, dining, and entertaining.Flow is Everything: A home’s design should feel seamless.

Second, the ownership of the relinquished property and the replacement property in the three (3) Private Letter Rulings involved two distinctly different taxpayers.

Four distinct rate seasons. 

A formal business built on this seems overkill as you’re essentially paying someone for a service that already has standard model.If you and the parnter have distinct business tasks/abilities (i.e. not what you would hire an agent or contractor for), such as off-market lead generation, that’s a different discussion.

But to be successful and profitable, takes some distinct characteristics:1.

The valuation and market value of a multi family property differs from a single family and you want someone that understands the distinctions if you go that route.

However, I typically like to make a distinction between my parents assets and my own, simply because doing so provides me more satisfaction when I succeed.

If all things being equal, the largest distinction between brokers would be splits, given that the brokerage doesn't do any value-add.It sounds like what he's saying is, if you're lazy, you're lazy.

There is also a distinction to make here as units can be legal non-conforming aka grandfathered in, in which case the above scenario would be ok to consider rental income and value on all three units.