If E has any priority over B, for instance, I would not invest in this structure, given that my bank account puts me at a Class B share (side note, their Class B is a little more GP friendly on the surface, than other groups, but devil is in the detail).  

@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.

Quote from @Rebecca E.: @Katie MillerI came here because I just had my yearly with my new accountant.

E Equity, how much of the home will you own on day one.  

For Conventional, you can only use 75% of the gross rent until you have Sched E history for the rental for a net rental income analysis. 

If you provide any kind of substantial services like catering, car service, etc you will change you tax situation and no longer can file under Schedule E.

No such requirement for improving rental properties and deducting interest on Schedule E. 

Quote from @Colin E O'Connell: The BP meetup in Wilmington is tomorrow 1/7 at 5:00 at Mad Mole Brewing.

Theres so many problems, this is a team deal scenario and one needs rules;  never take a contract less then 7 days prior to the auction, and NEVER NEVER N E V E R close allowing the seller to stay in the house after closing. 

I did a quick check in SLC and while I couldn't find a duplex at that price point and what I did find was pretty far out from downtown, but would something like this: https://www.realtor.com/realestateandhomes-detail/141-E-Nort... be of general interest?