I am planning on using a property manager because I wont have the time to manage it myself with my day job.6.

However, this is a difficult qualification to meet, especially if you have a full-time job outside of real estate.Don’t worry if you aren’t able to qualify for REPS status, because there is another strategy that is referred to as a “loophole”, which is the STR strategy.Per Section 1.469-1T(e)(3)(ii)(A): there are six exceptions where your rental property income is not automatically considered to be “rental activity” and thus may unlock the door for being able to offset these losses against your active income.The average customer use is seven days or less.The average customer use is 30 days or less and significant personal services were provided (for example, daily housekeeping).Extraordinary personal services are provided, regardless of the duration of customer use.The rental is incidental to a non-rental activity.The property is available during defined business hours for non-exclusive use by various customers.The property is used in an activity conducted by an S Corporation, partnership or joint venture in which the taxpayer holds an interest.If your property qualifies by meeting one of the exceptions above, the next step is to demonstrate material participation in the rental activity.

My current full time job is in healthcare 4 days a weeks.

I have been involved in many foundation repairs and we get the improved foundation up to as good or better than new.

Would it make sense to invest in improving my home, then refinance with a bank to extract the created equity, and then use that money to purchase a rental property?

I have a full-time job so I can only be part-time.

In the past I just give them a 10% deduction in rent for one year until things can improve. 

Anyone in the business knows there are scammers out there, it's out job to know right away who they are.

Your biggest asset, in my opinion, is that your husband is a contractor and can run the jobs himself.

Hi @Jacob GuttmanCongrats on your job and kudos for planning ahead!