I don't have the time to look into it but you could remove the election down the road but it is not easy and you would be better off starting a new S-corp.Outside of the "reasonable wage" and avoiding SE taxes there is a lot to this, you can shoot yourself in the foot pretty bad by making the wrong choice here. 

I invest, manage, and sell throughout SE WI and would be happy to chat about the market and areas.

@Dave Foster that would depend on where their other income was at, if they have a big W-2 or another business the SE tax may be minimal :)Taxes are important but they are not everything. 

Looking to interview a couple of additional builders for construction of 3 new homes in SE Raleigh.  

If landlords in SE Michigan and other regions were to join this effort or initiate concurrent efforts we should be able to raise significant funds and have a greater impact.

  - 25% in total expenses = $4,500- That's $13,500 in NOI (Net Operating Income)- Cap Rate =  $13,500 / $150,000 = 9%Actively listed right now in Grand Rapids there's a duplex at 142 Carrier Street NE renting at $600/ea ($1,200 total) listed for $130,000, and there's another at 649 Easter Ave SE that should get $750/ea ($1,500 total) listed for $145k.

The only difference is some SE tax implications, but at your income shouldn't be an issue if you have a great deal of W-2 income yourself.

@Martin VilarinoIt depends on what activity you are doing and what structure you are doing the business within.You may be responsible for Self-employment tax without an LLC.If you have a full-time job and making above the "social security base", you may be responsible for paying less in SE tax.You may want to consider speaking with a tax professional to go through the finer details.There is also a qualified business income deduction that you may benefit from if you have a business where you pay SE tax.

That is a bedroom community outside of Houston and while it is in Galveston County it straddles the SE border of Harris County. 

SE Michigan.