This sounds like a difficult situation and I'm surprised that they enforce this.

The lease already spells out the property owner's responsibilities regarding who is responsible for the repair of certain items like the fridge and AC. 

There are many issues like this, where trust, credibility and fairness come into play.Our company management contract has a list of what rental income will be applied to and in what priority.

What was your experience like? 

If you go directly to the bank they will run you through the qualification process just like getting a conventional loan.

There are several different types of income in the US tax code.Two main types are “active income” and “passive income".Active income is money you earn from working, such as wages from a W-2 job or income from running a business.Passive income is money you earn from investments like real estate, stocks, or rental income from your RE portfolio where you earn $ without actively working.Normally, you can't use passive losses (like losses from real estate investments) to offset active income like your salary from a W-2 job.That is unless you are an RE Pro.The reality is, that Real Estate Pro status is just a filing status similar to filing married or jointly.And if you are a real estate professional you CAN use passive real estate losses to offset active income from other sources.To qualify as an RE Pro you must:1.

It might be worth chatting with a tax pro to get everything squared away which it sounds like you already did.

This is another reason we like Self Storage. 

Hey Josh,I really like your approach to buy-and-hold investing by purchasing primary residences and turning them into rentals over time.

Hi Bob,If the LLC is a single-owner LLC, is it still crucial to have an attorney create the operating agreement versus a service like LegalZoom?