It’s also important to consider if the work involved aligns with your lifestyle and goals.

The client can distribute proceeds through a private agreement without involving the title.

my last post on this subject.I ran into a small company  6 folks involved  boy friend girl friends  they read rich dad book then went to a guru presentation and learned about wrapping notes which of course is the bizz model your talking about.

Since joining this club I have a new attitude at work and have received a promotion every year since I have been involved and closed some deals on the side.

I would tend to agree with the other CPAs typically.The 500-hour test is one of seven material participation tests used by the IRS to determine if a taxpayer is actively involved in a trade, business, or rental activity. 

I don't think rent to retirement can vet a deal any better than anyone else or you, they just have a bit of a system. but the new builds in Lehigh acres, Cape Coral, north port, etc are all garbage. septic systems, poor economics, low rent to purchase price ratios, you are banking on appreciation and buying at market. building direct is going to give you a competitive advantage on a 3 unit let's say worth 600,000 you are going to be 120k ahead than if you bought it through them. that's my analysis. if you are super lazy and too busy to make money and have millions to throw around then I'd recommend not thinking much about investing. but you can also invest in funds and be way omre passive than buying a new build from far away. but if you want to add real value then get involved and make it happen. getting wealthy isn't easy. you work hard for your money and there are build to rent developers like us that try to answer and add value to start buiding relationshipsl

That covers the down payment for the purchase, the rehab, and the $18,000 for reserves for the account, and $5,000 for me for each property for the time and work involved.

Then there were some issues with the inspection report that ruined 3 contracts prior to me getting involved.

Really appreciate your perspective on how flood zone properties, especially in desirable Tampa Bay areas, can still hold strong demand despite the risks.After weighing everything, I ultimately decided to pass on this deal—the price felt too high for the risk involved.

Quote from @Garry Lawrence: I need advice on a serious situation involving a property I’m about to buy.