Seek for homes where property management may be optimized or where renovations and enhancements might raise rental income.Long-Term View: Although cash flow could be difficult initially, take into account Silicon Valley real estate's potential for long-term value.

This seems like it may be the least intensive, and one of the more affordable options as you qualify for more optimal loans if the house serves as your primary residence 

I want this amount invested to be material - if the deal goes south, they should lose, and the amount needs to be large enough and meaningful enough to them that they will have a healthy fear of loss, not just optimism for upside. - How long have you been executing this strategy in this market? 

Real estate investors should consider key tax aspects for financial optimization and compliance.

However, there are other strategies you can consider to optimize your tax situation:Maximize Deductions: Ensure you're fully utilizing all deductible expenses related to your rentals, such as maintenance, repairs, property management fees, and travel expenses to the properties.Depreciation: Make sure you're taking full advantage of depreciation on the properties, which can significantly reduce taxable income.Cost Segregation Study: For larger properties, a cost segregation study can accelerate depreciation on certain parts of the property, offering more upfront tax savings.1031 Exchange: If you're considering selling any properties, a 1031 exchange allows you to defer capital gains taxes by reinvesting the proceeds into another rental property.Energy-Efficient Improvements: Tax credits may be available for making energy-efficient improvements to your properties.Rod

While optimizing taxes, ROI, ROE, IRR, and all the other wiz bang math is great...is that the tail wagging the dog?

As we transition to electronic records and the chance of title issues from paper records fades into the decades I hope the heat from reform efforts breaks through to the regulations to create a system that is more optimal.  

They don’t move in parallel… they are more “realiable” these days.I could guess in your situation is you fall into investment trap where your limited choice of investment may make you decide for sub optimal investment.but one tip if you decide to go into 40% down dscr 1 ; make sure your neighborhood appreciates higher than national average that way if market drops you know there is organic demand in your place.

Optimizing your real estate listings for maximum visibility and appeal is key to achieving this.In this guide, we’ll explore some of the most effective strategies for optimizing your real estate listings to help you sell your property quickly and for the best possible price.

And that’s another discussion.Allow me to requalify the answer into a set of questions: Are you a person who likes to have insight into their tax situation, optimize their tax footprint, and do not shy from tax concepts?