Here's what the law says in Michigan:R 339.22319 Licensure required for owner of real estate engagingin sale as principal vocation; acts constituting principal vocation;sale of real estate owned by broker or associate broker; licensee toreveal ownership or interest when selling property licensee owns orhas interest in.Rule 319. (1) Licensure as a real estate broker is required of anowner of real estate who engages in the sale of real estate as a principalvocation, unless the owner engages the services of a real estate broker.Acts constituting a principal vocation include any of the following:(a) Engaging in more than 5 real estate sales in any 12-month period.

Costello, the Third Circuit and Seventh Circuit Courts found that cohabitation without more is not enough to constitute harboring.

I don't believe that this post constitutes the offering of a deal, as outlined in the BP agreement?

OWNER and BROKER further agree that enforcement of this provision is appropriate through a temporary restraining order and/or injunctions and permanent injunctions, notwithstanding any rights under the First Amendment to the United States and/or Texas Constitutions or other codified statute, regulation, or code and that any party who prevails on enforcement of this provision, whether for monetary damages or injunctive relief is entitled to recover attorney fees against the other.

Does anyone know what kind of expenses constitute operations for this purpose?

@Ryan Cleary As mentioned above, I would definitely advise having the client speak to a RE attorney about this to see A) what kind of issues it can present and B) What constitutes a legal third unit and/or what measures can be taken to make it legal.

@Bryan Hancock, as usual, you're coming to the table dropping some serious knowledge =] I truly appreciate all the assistance you've provided me thus far (and for free, I might add).One question, what constitutes "advertising."

If it is a single member LLC with the IRA as the sole member this constitutes a prohibited transaction.There is nothing that can't be done directly through the IRA to avoid doing something that will have you lose the tax deferred status of your account.

In our states the Bar has not decided whether this constitutes the practice of Law.

If I bought a mobile home or other property with the IRA and collected the lease payments from a lease purchase agreement and paid the federal and state taxes would that constitute a prohibitive transaction?