While many rental activities reported on tax returns show a tax loss - the lenders should be looking at it carefully to see what expenses can be removed from a lender's perspective so you can have a lower DTI Ratio.Examples - Many lenders add back depreciationAlso - if you had a year with extensive repairs(roof, water heater, etc) - you can argue with the lender that normally repairs should be $1000 a year instead of the $5000 that we had last year.The lender may be able to addback $4,000 in this case to your income for DTI purposes.

Around the corner eh, have you thought about a long extension cord?

I will support any one that comes on here with a detailed plan based on extensive research and learning.

The purpose of the owners’ rep time was to determine if there were any existing leaks in the water inlet system.On Jan 10, Ben followed up with a detailed description of his intent for the scope of work at 1435 7th St, which included a couple lines about the owners’ rep time and hands on work.On Jan 17, Ben completed work at XXX E 16th St in capping water lines, providing feedback that there were no leaks on the incoming water inlet system, and then completing the natural gas extension to allow for connection of a gas range.On Jan 28 (best I can tell from my records), for work at XXX 7th St, Derrick YYY was paid for the rough electrical scope of work and successful inspection sign off.

The contract is pass the closing date and now they want me to sign a contract extension. 

Please note that you are obligated to pay back their 401k (regardless of the performance of your real estate investment).Per the loan offset rules that went into effect with the 2018 Tax and Job Act: if you leave your job and the loan is current at the time you leave your job but then the loan goes into default because you left your job, you will have until your tax return deadline (including any timely filed extension) to make the loan current by depositing the outstanding balance into an IRA (and thereby avoid the taxes and penalties that would otherwise apply).If you are self-employed with no full-time employees & you can rollover the funds, you could set up a Solo 401k, rollover the funds and take a 401k loan from the Solo 401k.

I haven't toured the property yet so I guess there could be some repairs in order, but assuming there weren't any extensive repairs is it as simple as that? 

You can always file an extension and have a second opinion.Education is always good but is not always an allowed business expense. 

Just make sure you have functioning gutters and downspout with extensions away from the house.

Please note that you are obligated to pay back their 401k (regardless of the performance of your real estate investment).Per the loan offset rules that went into effect with the 2018 Tax and Job Act: if you leave your job and the loan is current at the time you leave your job but then the loan goes into default because you left your job, you will have until your tax return deadline (including any timely filed extension) to make the loan current by depositing the outstanding balance into an IRA (and thereby avoid the taxes and penalties that would otherwise apply).If you are self-employed with no full-time employees & you can rollover the funds, you could set up a Solo 401k, rollover the funds and take a 401k loan from the Solo 401k.