I have spoken with my CPA but it seems a little "gray" at best.I certainly don't want to break any tax law....just trying to set up a structure that could help shelter some gains.  

One gray area I came across was denying people based on credit.

I plan on white shaker cabinets with medium gray laminate counters, and the same flooring throughout, with matching lighting, door and cabinet hardware, and bath fixtures.

I've seen people use marketing fees to try to get around this and I have not heard of any problems with that, but it is still on a very dark gray vector especially if you are getting any payment in result of performance and not just for consistent effort (like per call, or per house that you market to even if it doesn't close or result in a purchase).Have you considered getting a RE license?

@Spencer Gray, Thank you for your post.

Our CPA thinks it is a gray area for the property held in the LLC but I am wondering if anyone with more RE specific tax experience has had this question answered conclusively.

Glenn Gray

I poked around on the forums and I can see why you would advise against land contracts.Please correct me if I'm wrong, but it sounds like the potential problems with land contracts or CFD's are because there isn't a transfer of title, which makes issues like maintenance and land/building developments in a dangerous gray area.

Getting this done is usually a gray area as you're simply bumping up qualifying ratios with compensating factors.

It's pretty gray for sure.