It becomes a tax issue though when you do not separate these activities because they are treated differently regardless of how long you hold a property.

One of the things that repeatedly comes up with potential JV (active) investors is the question of where the money resides while the project is happening.

Let them know that you are working with an international buyer who is actively buying.

San Diego or the Coachella Valley, where I stay active.

Hopefully you have other open accounts on your credit apart from those credit cards because lenders look for you to have 3 tradelines that are open and active with at least 1 yr history so if it doesnt affect your credit it will affect you when you go to buy a house.

REPLY FROM ME: My 3 biggest lead sources are fee based financial planners whose clients are looking for predictable returns, existing clients and experienced active investors who are looking for passive long term investments.

I just got active on Biggerpockets myself and have already made some great contacts!

Some active investments will be subject to UBIT (unrelated business income tax.)

You generally want to get active, sold and under contract comp info on any property.

Assign "points" to each activity you implement in your plan.