Sources for insurance and property taxes: Insurance—ValuePenguin, State Property Tax Rates—Rocket Mortgage.

What are the expenses (taxes, who pays utilities, etc)?

I'm going to ask my CPA when it's tax time.

I've seen people get dropped from carriers  and claims denied because they did not disclose that the use of the home changed.

So if Texas has no state income tax I dont think you pay tax on any loans in other states.

The income (rent minus management) should cover the costs (principle, interest, taxes, and insurance) depending on the property's price point. 

This seems like a lot of work to save 15% of $35k in taxes (Less than $5k.) especially if you have transfer taxes or title insurance, or you convert your long term 15% rate in to your son’s regular income tax bracket.I hate paying taxes as much as the next guy but this lemon isn’t worth squeezing.

You make this election when filing your federal income tax return.

There are advantages to many real estate assets, but that doesn't mean you invest in the them just to get a tax liability.

Taxes/Expense:   flow through our personal taxes.Questions:a.