Also, they have drastically reduced their audits the past several years due to significant manpower cuts.

Tim Bratz needs to be more honorable and file a Reg D 506 C to be able to pitch publicly and truly qualify the investors as accredited before he gets audited and suspended or jailed by the SEC. 

It is convenient, but it's an IRS audit flag having a $0 income "property."

You will receive a report as a result of the cost segregation study that supports the breakout between asset classes and new depreciation schedule in the event that you are audited by the IRS.

They will cost $100k to get going and having to have an audit done to comply with sec requirements let me tell you is a blast (insert sarcasm).

For someone like yourself, you would likely have no problem meeting the requirements and likely exceed them with no stress of being audited. 

- Will they defend my report in an IRS audit?

We do have our account reconciliations audited by a 3rd party quarterly, which helps catch errors before they impact our clients.Highly recommend any owner dealing with a PMC discuss with their PMC and their tax professional, or an expert like @Sean O'Keefe, about how to improve processes and communications to make this process smoother:)

I would think because of audits they would make that the case.  

Look into their marketing efforts, tenant screening processes, and response times.Service Audit: Conduct an audit of the services provided by Ace Management and Reality to ensure they are actively marketing your properties and maintaining tenant relations effectively.4.