The whole reason bank statement loans exist for self employed borrowers is to avoid Tax Returns as documents required.I love doing these loans and have helped many many SE borrowers purchase homes when they thought they'd have to either rent forever or pay cash for a home. 

2 hrs SE.  

I hear what you are saying, but I am seing friends loose their homes becuse of this local law while others are selling since they dont want to deal with this any more. 

Hi @Matt Leber, they probably wouldn’t be deductible directly on your income taxes per se, but they might be added to your cost basis and deducted through depreciation.

@Jack Trader I checked my files but no longer have that specific lease.At the time we didn't do a background check per se as it was an old well established Corp. 

Sure it might be concerning but doesn’t mean anything unethical is happening per se. if your margins work and the wholesaler has been in business a while it might be one of their unicorn home run deals and you’re the beneficiary.

I'd simply disclose from the beginning that I'm interested in finding an investor buyer for their property and that I would not be listing it per se but sending the house information to a list cash buyers.

If we are talking about your STRs, then yes you could report the STRs in Sch C depending on if your activity is subject to SE taxes. 2) Is it more beneficial to report your rental income on a schedule E, since this prevents S.E. tax, or is it better to report this on a schedule C, since there are no limitations to your deductions ?

A lot of my larger clients, with 100's of apartment units, not houses per se, have Actual Cash Value policies with large deductibles. 

SE DC is a little bit of a niche market in DC and the DMV as a whole.