The income requirement was $6000.

And you now have to file three tax returns:- partnership tax return- your individual tax return reporting 1/2 of the partnership losses- your partner's individual tax return reporting their 1/2 of the partnership lossesAnd while partnership return can be DIY-ed, it probably should not be.

Focus on tax-saving strategies such as cost segregation studies and bonus depreciation to accelerate deductions.By qualifying as a Real Estate Professional (spending 750+ hours annually and materially participating), you can offset your wife’s S-Corp income with real estate losses, reducing your tax liability.

@Angelo Llamas If your cousin rents out the property, it becomes a rental once it's "placed in service," meaning available for rent, and he must report rental income and expenses on Schedule E.

@Tyler Speelman, A 1031 exchange solves the tax issue. 

3) Average income was up 4.5% in 2024.

You'll be able to defer a bunch of tax with this purchase. 

Vanessa, If you choose the seller financed route, you could potentially continue investing under the bank's stringent debt-to-income radar, so to speak.

If you live in CA, and your LLC is in OR, you still need to register it in CA and pay the 800 dollar per year LLC tax.

@Anita Z.I recommend finding an accountant who specializes in real estate taxation, tax planning and financial planning.