More than 50% of German residents rent their homes, a trend that has been consistent for decades.

They'll request proof of income, proof of residency, and non-payment notice. 

They get a higher return since they are covering housing cost, have the $250k per spouse primary residence deduction in gains, is a savings account, higher leverage position, lower interest rate possible, will pay more premium for location, etc.House might be overpriced for REITs but not for home owners.  

With that said, here is an opinion: You cannot write off anything you use as a personal residence.

However, are you planning to do a 1031 exchange, or is this a primary residence? 

The bill currently says any home that's not a primary residence that's rented for 90 nights or more is subject to commercial property taxation.

Well if you go together it could split it and get basically nothing - spend $2-3k file a lawsuit and get a judgment you are first in line… Also in many instances you can slap that judgment on his personal residence as well and foreclose on that.

@Edgar Duarte Selling now under the primary residence exclusion avoids capital gains taxes, allowing you to reinvest the $500K equity in diversified assets like index funds or additional rental properties.

Investment Info:Single-family residence fix & flip investment.

All calculations suggest great investment for 4 bed 3 bath in good school zone, however once the tax estimator goes from $2200 to $9500 due to lose of tax credit from not being a primary residence it hard to see how to get property in SC.