Not directed to individuals in particular, but if you read the section(s) on RESIDENTIAL MORTGAGE MARKET (or sometimg similar in the Management overview sections) across different time frames, you'll see a pretty reasonable description of the macro-economic reality of realty in the US.

@Karolyn Son Hi and welcome to BP!  

My son and his cousin have had a lease for a year.

I have to keep tracking his rent balance constantly and he always text me about his family problems-wife fracture, son sick, car accident, mother in nursing home, father in hospital.... 

The mother and son were on the lease.

My son is a handyman here and also works for an independent property upkeep guy.  

Originally posted by @Son D.

I'd assume that if it's just you and him, and he's the money guy, then you would actually be running the business.I'm thinking that if you, as his son, actively participate in the management of the business, then his interest would not be treated as a limited partnership interest for purposes of the interest limitation rules and so you would not be treated as a tax shelter and so the interest limitation would not apply.I could be wrong, but my reading is that the definition of "tax shelter" under Section 163(j)(3) (the interest limitation section) refers to Section 448, and 448(d)(3) refers to 461(i)(3), which gets you to 1256(e)(3), which says that an interest in an entity shall not be treated as held by a limited partner for any period if during such period such interest is held by the spouse, children, grandchildren, and parents of an individual who actively participates at all times during such period in the management of such entity (1256(e)(3)(C)(ii)).Thoughts?

I predict huge up side for this area.. given price points in the bay area.. just like East Palo Alto sky rocketed East Menlo and other areas that were rough and tough and considered war zones or semi war zones .. 

My son and I formed an LLC and are closing on our very first purchase, a 3 home portfolio.