@TJ BoutaughIt depends on your level of activity.If this is not in your trade or business, the interest income will be considered portfolio in natureif it is a trade or business, you may have to source the income based on the rules of states(Cost of performance vs market based sourcing).

Normally those are solid performers. 

We have some performing loans in the portfolio and have been contacted by a two of our borrowers (so far) who are currently out of work due to COVID-19 lock downs. 

I know people who are purchasing properties with positive cash flow at high LTV, but they are performing value adds to get the positive cash flow.

This would allow you to perform all functions of a property manager, including getting a lease signed. 

It's a difficult balance because I really don't like the idea of forcing money up front (I feel a ton of pressure to perform for those clients) but am struggling to find a workable alternative.

Way too many people get stuck with contracts and can't perform and screw over sellers.

I have found that you typically need to perform cost seg and accelerate depreciation to fully wipe out income, but that might be my assets. 

On a PSF basis they out perform newer two story homes with garages.

Any earth disturbance over 5,000 sq. ft requires an ERSA plan, which is performed by a civil engineer, and details the existing conditions of the site, and the proposed earth disturbance.