I work for Global Realty Group LLC in Cibolo, we require it for our landlords and also like to be added to the tenants coverage plans as well.

Material Participation Activities:Property Maintenance: Engage in repairs or construction work on the property to maintain or enhance its condition.Contractor Management: Oversee the hiring and coordination of contractors or handymen for property-related tasks.Tenant Interaction: Communicate with tenants regarding lease agreements, inquiries, or property issues.Property Acquisition: Invest time in property search and evaluation processes, including visits to potential investment properties.Property Management Tasks: Perform activities typically handled by property management companies, such as rent collection or property inspections.Non-Qualifying Activities:Educational Pursuits: Time spent on real estate education or training programs does not count towards material participation.Investor Hours: Hours dedicated to investment analysis, financial planning, or portfolio management are not considered material participation.

@Roseann Koefoed,As long as you have legitimate self-employment or an active business, you will be able to establish a self-directed Solo 401k plan.

What are vacancy rates in your market and does the current tenant plan to re-up for another year?

Gordon Ramsey has had a restaurant for sale and it was taken over by professional squatters (didn't know that was a job title :-)They planned to give away free food and open an art gallery there and are threatening to prosecute anyone entering without their permission.

I spend summer of 2020 completely renovating the entire property myself.

I plan to short term it when I'm not living in it so I designed it with an additional vertical guest bed to the right of the living room and with extra dresser space in the bedroom in case of long term tenants.

I plan on buying, rehabbing, and living in the home for at least 2 yrs.

Are you planning to resell? 

She has $4,000 to spend and only herself for expenses.EXAMPLE B would spend 50% of her money on rent, whereas EXAMPLE A would spend 33%.