At the end of the day, put the Title to the property in a business entity name to avoid potential liabilities that may arise from owning the property in your individual name.

I would look for a partner that handles everything in house that way you can hold them accountable if anything were to arise.

Further even if they did, we are in a rising interest rate enviorment.

Sometimes you can love someone, but not work well with them.That's typically the solution, from what I've seen, to any issues that arise: "OK, let's just not work together.

Within the real-estate investing arena, such issues commonly arise when the retirement account engages in RE flipping.In general, when a 401k invests in an entity that is an operating business and is not a C-corp, the income received will be taxable to the 401k as Unrelated Business Taxable Income.

When a deal does arise, you can always tap into your credit line and that will then become a business expense with the interest on what you borrowed being deductible.The Charlotte market is crazy as you know. 

They still legally cannot just sit hoping to make a profit from a rising market.John Corey

-It's my job to get the repairs done as quickly as possible so I can close the deal -Have the buyer get involved in the repairs and upgrades because it's their house so that they can take mental and emotional ownership the more they are emotionally involved in making it "their home" the more copperative they'll be if any problems arise.

David, good comments and you are certainly on target, it's not really about pulling 10% of rents but the opportunities that arise from the position.Chris, over time it can be profitable, it's building the business that is tough.

It gives you some nice "icing on the cake" if you do self-manage, but let's you plan to pass management off to someone else if that need arises..