There are some key limitations that are important:Passive losses can only offset passive income.Up to $25,000 in passive rental losses may be deducted against non-passive income if the investor actively participates and their modified adjusted gross income is below $100,000.Unused passive losses are carried forward to future tax years.Here’s an IRS article that further discusses the rules: https://www.irs.gov/publications/p9251031 ExchangesThis strategy allows investors to defer capital gains tax when they sell a property if they invest the sale proceeds into a “like-kind” property.

I would probably need a hard money loan, not sure what carrying costs would look like.

Do all these requirements carry over to CFD origination?

But these would also include that you carry all risk and they are tough to qualify for. 3.

I doubt they carry the appropriate insurance.There may be more reasons, but that should be enough.

@Frank Rolfe's Mobile Home Park Bootcamp is the gold standard!

Most HELOC's are based off prime and these are consumer based products (rate determined by margin which is fixed + prime).However the commercial departments in many of these banks or credit unions offer fixed lines on their commercial interest only products that can be based off different indexes like CMT (contact maturity treasury), SOFR (secured overnight financing rate), or other indexes that are less volatile than the prime which is directly linked to the fed funds rate + 3.00%.This is why the fed funds is at .50% right now and our prime is currently 3.50%.Just make sure to pick a product and index that works with your overall strategy because in between deals you'll be carrying the "equity," you used to buy a property on this line most likely.

(Gold, SIlver, precious metals etc.)

Does Cash invested include carrying costst?

I carry my phone with me at all times, and approve all requests within a few minutes if I can.