Have a 1960s 30 unit single story motel where we are coming up on some end of life issues: the cast iron plumbing is disintegrating underneath bathrooms, radiators are starting to leak, electrical is in poor condition, and just today, discovered significant termite damage affecting multiple rooms.

They want to start out wholesaling in their spare time to build capital to buy long term rentals. 

Use Private money to acquire and then refi into long term debt

They reached out to me and we sat down for a long talk.

You can expect more wear and tear and they may want to make modifications depending on type of group home (idependent, fully staffed, occupancy, etc).

Do not put rental properties in an S Corp.Generally, you should have an S Corp for flips, property management operations, commissions and any other activities that generate ordinary income.Passive investments should be held in pass-through entities like partnerships.I'm not an accountant, but I have clients and personally had to pay taxes to move long-term holds out of S Corps just to change title (e.g. for refinancing).

Hi all, I'm buying a new construction via a 1031 exchange as a long term investment property. 

The program worked well in our case, and we are roughly half-way through our 3 year obligation.

As long as everything is recorded correctly and all documentation is done, there are ways to do this. 

If you’re planning on holding the property for a long time and betting on appreciation, consider how you’ll manage market downturns or potential shifts in the local economy.