This is a practice by some less than reputable companies.

Quote from @Mikal Toliver: It’s an exciting time go learn, understand, and practice real estate estate investing.

I will not comment as to the tax laws and underlying rules - that is a discussion you can have with your tax advisor who presumably you are paying to help you.What I will do is provide practical and business guidance on tracking time.Firstly, there are apps available that can assist with time tracking where you can specifically detail your time, who you met with, etc.

A person who has spent his 2000 to 4000 minimum CPA practice hours doing foreign currency conversions at Deloitte for a Belgian energy company may not know the first thing about real estate or anything else.

Specifically, I’d love to hear about best practices for managing shared spaces, screening tenants, and setting up house rules.Additionally, I plan to split the utilities among the tenants—any advice on how to handle this efficiently would be greatly appreciated!

There is a formula that you must follow if you want to perform, having a realtor who knows the market inside and out and practices what they preach is an absolute necessity. 

The theory is spot on, in practice however that logic rarely plays out - at least in recent years where multifamily has been crazy.

@Cody Baum - Can you become an investor focused agent and get practice in real estate without it being your own money? 

I know a lot about the industry through my education, but have very little/no practical experience when it comes to managing investment properties. 

This thread shows there is a need for a larger guided discussion on best practices as it relates to (renters) insurance.