So they try to buy it at 1/5 the value, approx and then list for 2/3 the value approx on the MLS. 

I’m eager to connect with both investors and first-time homebuyers.

Once you have REPS the distinction between passive income (or losses) and active income (W2) disappears and all those tax losses you have been banking can be applied to the W2.Good luck

Hello,We are being approached to GC/partner on a spec home with whom the client owns the lot and will be securing the construction financing himself in order to do the deal.

We purchased a property in early October and are placing it in service this week (mid November).We had intended to run a cost segregation study and try to accelerate depreciation which we can deduct against our W2 (assuming material participation).However, we have been reading through the IRS guidelines (eg publication 946 on Property Depreciation) and there seems to be the concept of "short year" which would mean that we can only deduct ~1.5/12 of a year's worth of depreciation in 2024.Is this correct or are there any different rules for STRs specifically?

I think paying off a loan with a high interest rate debt and adding to the principal is one way to stay liquid within the property. 

Often syndicators will do a Cost Segregation, and this can minimize UDFI tax. 

We both work W2 jobs and don’t use the income from these investments.

I’m in Michigan and I’m not sure of the LLC creation process. 

I recommend finding a tax strategist who specializes in real estate taxation, financial planning and tax planning.You may want to consider working with your accountant remotely to expand your options.I would also recommend looking for a accountant willing to work with you throughout the year.