LLC Taxation for FlippingSince you’re flipping the property in under 12 months, the IRS usually treats it as ordinary income because it’s considered a business activity, not a long-term investment.

Quote from @Nicole Laba: I work with investors in Chicago who are actively buying off-market properties, and Ive noticed that everyone has a different approach when it comes to sourcing deals.

Also, it can avoid filing an amendment.Another great point on eligibility- SEP IRAs require net self-employment income from activities like 1099 contract work, real estate sales, wholesaling, or other self-employment business income.Passive income as you have highlighted, does not qualify. 

For example, Woodstock has policies that mandates that short-term rental owners rent to guests no more than 180 days per year and no more than 26 weekends per year.

Good Morning , my name is Max and I am actively growing in the real estate wholesaling space.

I presume your intention is to be an active investor who owns physical real estate and not someone who invests passively.

I love that you have found passion in REI and have laid down a path to success with your three approaches.Of the 3 activities you are in, do you prefer one over the others? 

You’re in an ideal market for growth—DFW is full of active investors and countless networking opportunities through local meetups.

.: HiRepairs were going to be paid for before closing, as the seller having some other time sensitive activities needing to be met, my agent and I decided to grant a seller credit to the buyer for these repairs.

I will be the one actively managing the property and doing most of the research, and my brother will act as more of an investor.