You must work at least 750 hours per year in a qualified RE business.So most people who have high-earning W-2 jobs outside of real estate won't qualify.But the unique thing about RE pro status is that even if you don’t qualify but your spouse does, you can both file jointly and claim the losses from your RE investments to offset your other active income together.It's an incredibly powerful benefit if you do meet the criteria.

The use of the accelerated depreciation strategy helps real estate investors to reduce the tax liability immediately which therefore increases their bottom line due to the offsetting of income.

Imagine having the majority of the section 8 tenants, with that steady and reliable income.  

If you want private investors, start by asking friends, family, or colleagues in your network who may wish to a passive income opportunity. 

If you spend time learning how to manage well, your income will increase, you'll save time, and you'll maintain your sanity with the courage to expand.

You get a Capitalization Rate (CAP Rate), which equals your annualized return by dividing the Net Operating Income (you had gross in your narrative) by the purchase price.

A few to be aware of as examples…Capital gains… you probably know they are either 15 or 20% (and in rare instances zero if you have no income)… but have you heard of NIIT (Net Investment Income Tax)… this is an extra 3.8% tax you get hit with when your gains are over $250,000 in a year.  

You'll have to look at the income and expenses to predict whether your cash flow will improve.

If I'm mentally and emotionally all-in on the incoming administration and think the economy is going to be amazing, best economy with the biggest hands ever, etc etc, then I can do better than gov't bonds, given the emotions I am experiencing.

So, make sure YOU understand the copy & paste info below:Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?