Metrics like 10-15% of ARV profit, COC, and the 70% rule all serve different purposes, helping you build expectations, safety margins, track leverage, and account for contractor turnaround times.In my opinion rather than overanalyzing numbers upfront, I would focus first on building strong deal flow.

A renter does have to stay current on every payment after they file though, or you can evict with a court order.There is much more, but for purposes of renting to someone who has filed in the past, not a problem if they have good income.

*All posts on this forum are for general educational purposes only and should not be taken as comprehensive legal advice.

I keep getting mixed answers I don't know why this real estate professional tax status is confusing to me along with cost segregation and bonus depreciation no matter how much I read about them This sounds like you can qualify if you document how you spend your hours and group all of your properties for the purpose of meeting the requirements.

Which probably defeats the purpose of the STR loophole, making it pointless to even attempt to claim STRs on CA returns.

I also learned about what to look for and how to use data to style a home for the purposes of a STR.

If not rented at fair market rent, this property will just count as your residence, not a rental for tax purposes---I agree 100%.

I wouldn't imaging the state where the entity is registered makes a big difference for most buying and selling purposes as long as you can provide all of the required documents for title purposes.

Its both asset protection , business planning as well working towards getting REPS status for tax purposes.

My parents live out of state and the purpose was to give them a place to stay for an extended period of time and we will Airbnb it when they aren’t here to pay for the property.