Donald on BiggerPockets, we're not politicians here.I happened to be of the opinion that interest earned by professional private lenders or hard money lenders is ordinary income for their lending businesses (as in "in the business of lending money"), as distinct from portfolio income on passive investments and casual loans.Eamonn - please correct me if I'm wrong and explain how would you classify the income and expenses of a HM lender, let's say operating as a partnership. 

., all have very distinct issues that need to be addresses and resolved if the underlying investors want to go separate directions with different goals and objectives in the future (such as a 1031 Exchange). 

I would make the distinction between a high crime area and an area that has been abandoned with row after row of abandoned properties slated for demolition however both would have challenges to an investor.

Because Texas with its distinctive culture and its size, is a very influential state in the country n it tilts to the right n liberals don’t like competition, so they would love to have Texas go the way of NY and CA, they would love other states too but Texas is the big prize.

If this has inspired anyone to look further into the program, there's one more important distinction between the two programs: ease of recruiting tenants.

In the other half, escrow and title are distinct.

So now you have three syndicated deals, one each per market, in three distant and distinct markets, right? 

However, the distinction between rental properties and primary residences significantly impacts your taxes.

I know some zoning codes don't make a distinction between the two which is a bit unfortunate.

@Linda Weygant @Kevin Coggins  when he mentions negative gearing that is a distinctly Australian term.. for whatever its worth you will not hear US investors mention that or even know what it means. internet is a wild thing.. when you can create all these persona's.