We renovated the kitchen, the BBQ Patio, the 1st floor tile, the master bathroom/shower, and replaced all furniture in 2023 to a new look/feel of the property.

Any leftover gains from real estate activity will then be calculated as part of your AGI, just like your ordinary income, dividends income, interest payments etc.

I remember a 22-year-old day trader who lost over a million dollars in a few short hours, sweating in front of his laptop on the patio at a SoCal Starbucks when the tech market imploded in 2001.

I think if he pays the mortgage directly from his LLC account, then he is directly using business funds to pay a personal debt.If he pays himself something instead of using an owners draw he is generating ordinary income from his passive income, a double whammy in tax inefficiency.As long as he is a single member LLC, I think he should be able to take the mortgage interest since smllc are disregarded entities for federal tax purposes.

Brand new kitchen open to the living space, stainless appliances, access to patio from dining.

The expense must be ordinary and necessary.

You do not, however, appear to want to wait for ordinary market appreciation.You are left with buying properties under market price.

if it is as you describe then it seems as if your mileage would simply qualify as an ordinary and necessary expense of conducting your trade or business.I'll assume you are not counting mileage for any personal affairs.

Just a few comments - if he withdraws or takes the distribution from the 401k it is taxable as ordinary income and not sure what impact that would have on his tax situation.  

I ALWAYS tell the wholesaler to make sure they are transparent with the end buyer and their lender because MANY times if they aren't transparent about the double closing then the underwriter will catch it last minute and bring up the fact that the current deed holder isn't the wholesaler and that will kill the deal many time.There are some underwriters that don't catch it and things go smoothly.Then there are some conventional lenders that aren't familiar with the process and think it's fraud and won't lend on it.So sometimes I inform the wholesaler to let the end buyer go direct with the seller, do a single closing, Increase the purchase price by the amount of the wholesalers spread and put the fee on the SELLERS side of the HUD because the lender WILL NOT pay for the wholesalers fee, but if it's wrapped into the initial AB contract (now between the seller and end buyer) then the wholesalers spread isn't brought up, it's merely a line item on the SELLERS side HUD and nothing to do with the conventional lender and it will close "100%" of the time because it's a normal ordinary closing to that lender then.