There is some room for creativity here, but it takes careful planning and execution, and there is only so far you can push it before crossing the line from aggressive but legal to reckless and punishable.GROUP 2: Legitimate tax strategies, just not for the EOY to-do listForm an S-corporation.

I finished the basement with a 2 full bathroom and rec room.

But since each studio is just one room and we have kids do you know if they would allow us to evict both tenants to allow enough space for the whole family?

Otherwise, rent-by-room is probably your best bet.

We painted the inside, opened the kitchen/dining room, replaced windows, removed a nasty fabric lined black tub from the basement, replaced the siding and redid the bathroom.

Drue, looking at your family friend’s property, there’s definitely some room to maneuver here.

"Head right on back to the back of the room and my associates will get you signed up today!"   

I'm also considering a separate living room space or maybe some kind of artist studio. 

I have changed my rental strategy to short-term rentals and co-living (rent by room) to allow for more cash flow. 

They request interior pictures and a walk thru.The Upper duplex is a single unit with the kitchen & living room on the 3rd floor and the bedrooms on the 4th.