my business partner is a real estate agent

Account Closed Contractors are businesses .

Purchase price: $31,000 Cash invested: $66,000 Sale price: $147,500 Converted an abandoned, condemned three bedroom, one and a half bath home with two rooms (one 30x15) unused/used as storage, and attached single car garage that we (my business partner and I) emptied (3, 30 yard dumpsters!)

I am a small business owner with like a dozen employees .

If you use a DSCR loan like some others have mentioned, licensing works differently since that's a business purpose loan.

If you are installing them in 2024, the amount of bonus depreciation is limited to 60% and you can therefore only take 12.75% in the first year (plus normal remaining depreciation for a part-year asset).I'm not sure how the split would work between the residential credit and the commercial credit as this may be reported separately with the partial business use allocation happening first.

Is that how you want to start in this business?

It might be worthwhile to keep son and daughter off title and just have them mange them and run the business. 

Yes, in some cases - and I would caution that such cases are rare - it could be a theft/casualty loss or an ordinary business loss.

If it is passing through you may need Workers Comp. on your business.