He buys notes.The crazy brit - College and liberal arts educated.

Its ordinary income and taxed at ordinary income rates.

The renovations would need to qualify as "ordinary and necessary" expenses in regards to operating this property as a rental.

If you spend it along the way, you lose your leverage when the tenant terminates and moves out and then have to go after them for cleaning, repairs, unpaid rent, etc.Some Landlords will make the tenant responsible for the first $50 or $100 of any maintenance call, even if it's an ordinary wear-and-tear thing.

To be honest, on something that is out of the ordinary, with so many variants, you're probably going to need to talk to an appraiser and see about getting some type of an evaluation.

Of course, these would be basic (i.e. ordinary and necessary) expenses of operating a rental property

Need paint and some up keep but nothing out of the ordinary.

I thought it was on passive investment income and most flipping is taxed as ordinary income.

I nicely called it out and he stated "I need to take measurements to provide itemized cost estimate, it will take weeks so I'm just going to pass on this project".Is what I requested out of the ordinary?

The lien should divest with proper notice since this is a lien that has to get in line by time like any other ordinary lien.