Mine were not at least in the quick flips the opposite ordinary income.. if you hold the tract more than a year cap gain.. if you buy the tract in your Roth  ( which was not invented yet)  but you younger investors its there for you.all gains on investments in a roth are tax free.. but consult your accountant for accuracy.bottom line with Timber it grows lumber Is fairly consittent and has been for the last 30 years in value all though up right now.. and you make money because tree's grow.. you get more of it over time.. and in the right growing areas you get a lot more of it quicker.. you can't say buy the same tract of timber in  Eastern slope areas they grow much slower so returns are not as big over time.. this is why I prefaced it with PAc north west timber.. specifically the coast range from Eureka to Vancouver BC

The reason for this is because the IRS can argue and can potentially come in and say that you are a dealer in real estate and all your sales are considered ordinary income subject to self-employment taxes. 

However, these were all institutions and loan officers who are used to working with owner occupiers, who can be very cautious when dealing with a situation that is slightly out of the ordinary. 

You're taking the cash out via a sale, if its less than one-year, ordinary income (30%???)

Each payment you receive the installment sale has three components:1) return of your basis, 35k ( not taxable) 2) your gain 45k-35k -selling cost (Taxable as LTCG)3) interest specified in your contract( taxable at ordinary rate)  

Hired the kids to clean the patio furnature and wash the windows.  

  $30,000 x 35% (ordinary income tax rate) = $10,500 paid in taxes.  

Decks can be unattached free floating and covered, step down to lower decks, a patio area, fire pit, BBQ area, outdoor entertainment center, overhead heaters can make you take your coat off in 20 degree weather, curtain enclosures that roll up or down and snap in place (canvas type material with windows) allows heating and cooling.

However, ordinary building materials to be incorporated into a building are not deemed fixtures.

@Charles D.I would use every method available.........pin it to his door, registered mail, ordinary mail, email-despite what was said, singing minstrel; whatever it takes.