So, not really passive.Investing in rReal estate offers a lot more control than investing in stocks, but it also requires an investment of time to do well.

@Derick Jennings Without knowing more about your situation, I'd likely recommend a house hack, a strategy I wish I would have known about when I got started.

Do you know how to read the credit/criminal background?

If you decide to sell, you will only have paid a little more in interest over the remaining time that you are in your home.   

Your scenario is possible but not probable...admittedly I have never done what you suggest I've been the seller financing sales in my IRA, but I have read several BP contributors that have substituted collateral.

So while deductions today are generally worth more than future deductions.

If you live in CA, NY, Boston etc - the financial difference is big enough.Investing in your home town is always best, you have the home-field advantage and you can buy, rehab and manage a lot more efficiently.

if it’s illegal today, I don’t want inspector to show up and have more problemsI read about houses build before 1957 so if in current condition I would go to the city to get permitted, would 7ft ceiling still be a problem?

Hi Dan, I would say that specific area is more D class. 

Nice folks and a lot of knowledge to go around.