That would knock off 4%-ish from the federal ordinary income tax rate...More info from FTB: Help with pass-through entity (PTE) elective tax (PTE tax) | FTB.ca.gov

Should I use a co-host just to get off the ground on a good foot and rack up some solid 5 star ratings, then transition to self sufficient down the road?   

It seems that rent has grown faster than jobs, and its hard to keep up with the rent at rates like $1400 in that area.From looking at crime, that neighborhood was lower than all of Westland, so I am surprised to hear its so bad.

With those kinds of rents ($5,800 between the 2), even with a 9% cap rate, in my opinion those properties should collectively appraise for nearly $500k.

I believe it is 50% down, rates around 13% and term around 5 years.  

It might mean giving up a lower rate but if you do not have the personal capital or do not want to part with it, it is the easiest way.  

Congratulations, you get to share your partners tax burden and pay the depreciation recapture at ordinary income rates. 

I believe the value would get passed to them and the current market rate. 

If the index underperforms—or if caps and participation rates limit returns—you might not get the growth you expected.4.

Especially in today's high interest rate environment, a low income buyer is usually going to be better off renting than buying.