You should split the costs - labor and materials together.

How about a sales contract with contingencies but with a limit where the buyer can only terminate the contract if their find material defects exceeding a certain dollar amount.

so - tough environment. 

Whether you’re managing properties, operating STRs or long-term rentals (LTRs), or just have an opinion on the state of the market, I’m eager to hear your thoughts and any new developments you’ve noticed.Here are a few things I’ve observed:Increased Supply of RentalsI’ve lived in Gainesville for a while now, and I remember a time when it was tough to find a rental.

Also, you can't know how the cost of materials could fluctuate over your project time, so consider purchasing any materials upfront so you can stick to your budget. 

Quote from @Samuel Kim: Hello i am a doctor who wants to use cost segregation/bonus depreciation on my 9 rental houses, my home maker wife wants to meet the 750hr test to obtain real estate professional status and material participation.

The house's exterior is constructed of brick material with a flat tile roof.

@Jonathan B.Assuming you pass the "material participation" test for 2023 and did not use the property yourself (or used very little), you should be able to treat it as an STR for 2023, including bonus depreciation.  

My wife works for Ferguson, and I know many contractors, so I can get a lot of materials at cost.

Using quality yet affordable materials can transform a space without excessive costs.I could remember working on a property an investor purchased.