There are three safe harbors that businesses may use to meet the test.Half of the amount the business spent on services were for services performed in a QOZ.Necessary business functions and necessary tangible property was located in a QOZ.Half of the hours of service received by the business were performed in a QOZ.A business does not need to meet all three safe harbors to qualify.

Or that the remodel wasn't performed by a licensed professional. 

It creates over-leverage and the performance of one property is dependent on the other.

I am a beginner investor for real estate.

If you don’t, you might end up spending more on repairs than you’re making in rent.Tips for beginners?

Hey Biggerpockets people, My name is Rocco Forte, I’m 19 years old, currently in college, preparing to take and pass my real estate exam this December. I’m really interested in commercial RE, rental properties, flippi...

Maybe if you can prove that you are actively trying to gain compliance, that will get you the much needed time to gather $, time to pull the permit and ppl to perform the work bc they will have a bit of mercy on you bc you are trying to do the right thing. 

So you’d be ok coming out of pocket another $130k and paying $780k for this property if the builders fail to perform?

If there's a hole, it may be a red flag.b) sensitivity analysis: I examine all the assumptions, and make sure I can live with the worst case scenarios.c) "Stall and see": if they are getting money over multiple years, and there is no penalty for investing later, I would usually wait so I get some real performance data, versus having to look at theoretical pro forma information.d) Recession stress test: I will not invest in anything, until I subject it to recession level stress and see if I can live with the result.

To assist us, we refined our pitch deck and performed some scenario analysis with our financial models.