Dear all,Need guidance around Real Estate Professional exception for passive loss rule when managing multiple rentals.

Coverage varies based on size, age and location, but generally 50-80% of damages.

Entering in all of the pro forma data for every multifamily property would take forever, so I am going to implement the 50% rule in order to weed out the good from the bad.  

I understand the 50% theory.

As more and more pet owners become aware of this situation and more and more doctors prescribe emotional support animals (for very valid and obvious reasons), any rules on HOAs books might become ineffective. 

My questions are: - I’m leery of using the 70% rule on my first rehab/rental opportunity.

The 4 property rule is only for 4 fannie/freddie loans.

The 70% rule is one we typically apply to flips, not to rentals.Also a seller isnt leaving 30% on the table.

Standard rule is deposit stays on unit until it is vacant.

The deal is as follows: Eightplex in Hickory NCAsking price $210,000 (trying to get it down to 150-170k, but am using 210k for the numbers) Gross rents: $2,900/month or $34,800/year (Between $330-400 a door) Tenants pay all utilitiesI am requesting a 1040 schedule E and the T12's from the seller, but for now am forced to use the 50% rule. using that, operating expenses are $17,400 NOI: $17,400Cap: 8.28 Debt Service: $8,700Equity Dividend rate: 16.5% The area isn't great or terrible, probably a C or C+ area.