I liken 'Cash for Keys' to:- Giving the soon to be Ex lawn chairs or other heirlooms with sentimental value rather paying 2 attorneys thousands of $$'s to fight over them - Settling a lawsuit out of court for less than the cost of defenseIt certainly never feels good to give  in to the opposing party but from a practical point of view sometimes you just have to cut/minimize your losses and move on to new opportunities.Rick

"Not required" because you don't have to do it per the relevant IRS rules/laws/guidelines/policies, or "not required" because the IRS is unlikely to ever discover that you broke this rule and if they do the consequences are minimal compared to the benefits, or "not required" because there's no way in hell the IRS could ever have any way of discovering it in a million years?

I am sure someone would rent the bad place after minimal repair for $4-500 per month.If you trust your contractor, and he thinks you should do it, then go for it.

But I do have a full time career that pays well and my risk is minimized because I am not reliant on real estate.

We are coming out of the winter season so a re-renting fear should be minimized. 

A lot of wholesalers aren't good at it because they're reading from a script with minimal training and experience in actual rehab.

The overhead does seem a bit much and I'm curious how to minimize it.  

Jeff Rabinowitz I would advise you to start small and with minimal debt.

Although we all want to minimize taxes, having a gain to be taxed on isn't such a bad thing!    

You can also use multiple entities but that would increase your costs.The biggest challenge is to minimize taxes and witholdings such as FIRPTA and disposition taxes.