We are expecting a termite treatment at our 4-plex.

There are some fractional owner products that are designed to help you in situations like this like Delaware Statutory Trusts and TIC products sold by broker/dealers and syndicators that qualify for 1031 treatment and can help to ease some of these timing issues but you'll still want to make sure you have good guidance and keep an eye on your timing.

Qualified Use means that your relinquished property or properties and your replacement property or properties must be held for rental, investment or business use in order to qualify for 1031 Exchange treatment. 

Which means almost everything you read about the general tax treatment of residential real estate investment property is wrong.Dealers vs.

BUT you might be able to apply for historic tax credits, get favorable property tax treatment, etc.

The California Franchise Tax Board ("FTB") has ruled that certain types of installment sale transactions that have been "structured" or "drafted" pursuant to Section 453 of the Internal Revenue Code ("Code") and have been promoted and used to "save" failed 1031 Exchange transactions will not qualify for tax-deferred treatment in California when used in this manner.California FTB is Aware of Certain Installment ArrangementsThe FTB is aware of certain arrangements in which a 1031 Exchange investor and/or Qualified Intermediary attempt to convert proceeds from the sale of the investor's relinquished property that is part of a failed 1031 Exchange, or any unused proceeds from a partial 1031 Exchange, into an installment arrangement such as an installment note or other similar arrangement in which payments are to be paid out over two or more years.It was made clear by the FTB that these arrangements do not qualify for a deferral of gain recognition under Sections 453 or 1031 of the Code since, among other reasons, these sections and the federal doctrine of constructive receipt do not support such a deferral of gain recognition.These tax-deferred installment sale transaction structures have been promoted under various names over the years, including Private Annuity Trusts, Deferred Sales Trusts, Monetized Installment Sales, Self-Directed Installment Notes, among others.Qualified Intermediaries Put On Notice1031 Exchange Qualified Intermediaries must withhold and remit certain amounts to the California FTB when a 1031 Exchange either fully or partially fails.

LED lights and blinds are options (although I believe some states may require window treatments in place), and not sure about "rust" on cabinets but that sounds like it must be addressed as well.      

Here's how you can calculate it:Total Tax Benefit from Cost Segregation: Let's say the total tax benefit from the cost segregation study for the entire property is $2 million.Total Capital Raise: If the total capital raise for the project is $6 million, this represents the total capital contributed by all investors, including limited partners (LPs) like yourself.Your Investment Amount: You mentioned that you invested $100,000 as an LP.Now, to calculate your portion of the tax benefit, you can use the following formula:Your Tax Benefit = (Your Investment Amount / Total Capital Raise) * Total Tax BenefitUsing the numbers you provided:Your Tax Benefit = ($100,000 / $6,000,000) * $2,000,000 = $33,333.33So, based on your investment of $100,000, you would be entitled to approximately $33,333.33 of the total $2 million tax benefit from the cost segregation study, assuming you have sufficient passive income to claim the passive loss.Please note that the tax treatment of these benefits can vary depending on your individual tax situation and the specific tax laws in your jurisdiction.

This is the default tax treatment for foreign investors.Ownership Through a U.S.

The tax treatment could vary based on the percentage of time the property is used for personal use versus rental.Advantages/Disadvantages:Advantages of your current arrangement might include potential tax deductions related to the rental portion, such as property taxes, mortgage interest, and operating expenses.Disadvantages might involve complexities in tracking expenses and income, and potential limitations on certain deductions if the property is not rented out for a significant portion of the year.If you were to convert SFH2 into a full rental without personal use, you might qualify for certain tax benefits associated with rental properties, but you may lose some of the personal use benefits.