To avoid any confusion, this is not the same thing as ( “home sharing”, or an “owner-occupied rental.”)Improvements generally need to be depreciated over 15 years, note I said generally, depending on the nature of the improvement and how long the IRS standard depreciation period is for the cost and size of expenses.Strategies depend on a number of things including, but not limited to: type of property, your material participation, how long you plan to hold it, your goals.

We allow our potential 1031 DST investors to review all the material of the properties, as well as have as many calls with our Inland reps until they feel comfortable with the DST portfolios, as well as Inland as a company.

A lot of people shrug off Modular and Manufactured but they are both cash cows and help avoid longer construction times, higher material costs and less permits. 

The STR Loophole (materially participate & less than 7 day rental) vs. providing substantial services.  

Copied from IRS pub 925 under material participation:.Proof of participation.

There is some great material on the business mode for bay area that in Biggerpocket. 

So here is the issue:I don't know how your market works, but I would argue that is a material fact to disclose to the next buyer.

Any material change in the terms of sale, the tenant association right of first refusal is reinstated.Despite this being a pilot program, there is no defined end date for the tenant opportunity to purchase provision.Rental properties in the pilot zone are subject to further regulationsIf a purchaser purchases a rental property and uses any public funds in the purchase, then the rental property shall be maintained as affordable housing for no less than 30 years.Landlords may not evict for any other reason than serious, or repeated violations of the terms and conditions of a lease or occupancy agreement, otherwise defined as “just cause eviction.”PenaltiesAny person who violates the requirements set forth in this ordinance shall be fined, not less than $200 nor more than $1,000 for each offense.

Spend a little more on the front end with better materials. nothing worthwhile is ever easy or everyone would be doing it.  

I've been researching this quite a bit and am looking into acquiring an STR that I would actively manage and would keep average stay at 7 days or less. I would like to meet the requirement of spending over 100 hours o...