Consulting with a local real estate advisor or financial planner can provide personalized insights based on your specific situation. 

In your situation, you can plan to minimize your losses or to trigger passive gains to absorb these losses.

@Alecia Loveless wow that is great insight.

Additionally, I'm based in Michigan, and I would like to know if anyone in the community is familiar with companies or professionals in Michigan who can assist in the process of forming an LLC and managing the legal aspects of transitioning Airbnb properties.Any insights or experiences you can share would be immensely helpful as I navigate this potential transition.

There’s a house that need some major renovations that interested me and I was hoping for some insight as to how I should go about financing (once I’ve finished the project that I plan on buying and rehabbing in cash).

Do you need more insight or often need quick answers?

I appreciate the insight.

So I will not have to pay the capital gains tax if I sell if now (CA).Average stock market return is 7-8% (historical data).Too much investments concentrated on real estate.

It would mean giving up that benefit and spending money for little gain when you step up to those types of investments.Of course, every situation is different.

It is important to remember that if you buy a single family home that you will live in for a while, consider living in it for 2 years before you sell because the IRS will allow you to exclude up to $250,000 of capital gain on your property from being taxed ($500,000 for married couples).