As many create a legal entity for the "asset protection feature" and not tax consequences, please comment on How or IF the flow-through/disregarded entity classification impacts asset protection.

Hopefully, you won't encounter a medical professional who felt the same way, or a trades person, legal professional, financial professional, etc.You have to learn how first.

If you find an article on BP or other trade publications that you find helpful, send it to your professionals to get their thoughts on whether you can take advantage of the strategy.

Be sure to trade email, phone number and even follow one another on social media.

Activity has to be a trade or business. 

If you take bonus depreciation or section 179 depreciation on these properties( if you happen to qualify), you will have to recapture the depreciation if business use falls below 50%. ( that's another stress) As I said, there are trade-offs, so you decide if these interests you. 

id say definitely get the permit , if you do ever decide to sell youll likely have to get the property inspected and if they notice any of these changes theyll look for the permits for them and when they see there are none youll have a HUGE problem on your hands and likely have to bring everything to code and have it inspected prior to the pass of the inspection, also with so many different styles of trades involved one "handyman" shouldnt be doing them all . remember the saying "jack of all trades , master of none" this sounds like a nightmare waiting to happen to me and ive been a plumber for 5 years , the permits are there to protect the home owners and make sure everything is safe and working properly, would you really risk safty and functionally for a few thousand dollars?

As a side note, one ofmy long range goals is to sell properties in my SOLO401K and SDIRA and pull those funds out in largish chunks (say to but a retirement home) that will cause high income for that year, and 'offset' that with new purchases outside of the Self Directed Accounts that I can use Cost Segregation on to have similar Passive Losses to offset that income coming out of the retirement accounts.Thanks, Dan DietzFor purposes of qualifying as a real estate professional, “personal services” means any work performed by an individual in connection with a trade or business, but not any work performed by an individual in the individual’s capacity as an investor.Work performed by an individual as an investor includes (1) studying and reviewing financial statements or reports on operations of the activity, (2) preparing or compiling summaries or analyses of the finances or operations of the activity for the individual’s own use, and (3) monitoring the finances or operations of the activity in a non-managerial capacityIf you can show that non investor activity is connected with the rentals, you can log it to show that you qualify. 

Even if you don't have any/enough real estate deals to deploy your capital right away, with the right custodian you can invest in publicly traded securities or anything else to the extent it's not disallowed by the IRS (collectibles and life insurance).

The cost to acquire those leads is so much smaller than the negative consequences of losing the trust of your customers.