@Reid MathewsGenerally speaking, if your rental activities rise to the level of a 'trade or business', any costs that are 'ordinary and necessary' for running a rental real estate business can be expensed.

If the government decides that whatever money he puts into the deal was gained through illegal activities (e.g. drug dealing, extortion, etc), they can seize those funds - and I guess any assets he acquired through their use.2.

@Rupert GrantAs you probably already know Solo 401k plan is not for everyone - you must have legitimate self-employment activity or business with earned income in order to qualify for it.

You need to perform a credit, criminal & eviction check on every applicant.

It you communicate your rental criteria to prospective tenants in advance before accepting an application and application fee (required in Washington State), you would not run into this problem.It's perfectly fine to reject an application or approve it with conditions based on legal rental criteria.You may want to use a standard form, such as an "Adverse Action Notice".Here's some information from the one we use:----------ADVERSE ACTION NOTICEApplicant name ____________Applicant mailing address ___________This notice is to inform you that your application to rent the property located at ______________  has been:[] Rejected[] Approved with conditions:[] Residency requires an increased monthly rent of $_____[] Residency requires increased [] fee or [] deposit of $ _____[] Residency requires last month’s rent[] Residency requires a qualified guarantor[] Other requirementAdverse action on your application was based on one or more of the following:[] Information contained in a consumer credit report *[] The consumer credit report did not contain sufficient information *[] Information received in a criminal record[] Information received in a civil record[] Information received from references[] Information received from previous rental history or reference[] Information received from employment verification[] Inaccurate, false, or misleading statements or missing critical information on the application*If you were rejected based on a consumer credit report, you can request a copy of your credit report for free from the below-checked agency.[] Experian[] Equifax[] TransunionDated this day of ________.Agent/Owner Signature _________

Most DC HOAs actively dissuade short-term rentals and allow no more than two leases per year per unit, which is consistent with DC housing law.

Been thinking about this for quite some time, passive investing versus active investing...…..

@Matthew Thibeault I'm not sure what part of the country you live in but I would recommend making a list of the 5 most active investors in your area and locating their office and I would walk right in the front door and tell them exactly what you just wrote on this forum.

(Even discussing a home for sale that you don't already own is a license-required activity in MA)Remember that we operate on 100% commission. 

Check for investor FB groups and REIA’s in your local area to speak with professionals actively working on projects that you can meet and potentially work with.