e.g. real estate professional (Sec 469) with trade or business (Sec 162) with material participation (Sec 469)You do not have to materially participate in an activity for that activity to be a trade or business. 

Your wife still has to meet material participation regarding your rentals.Your CPA is best equipped to advise you as he/she knows all of your facts, circumstances, and goals."

If 1 & 2 don't work, rip out the affected areas/material and put in new material.

What supplemental materials do you typically ask for? 

I think this is a great strategy because you can review real deals and professional marketing materials and get a better understanding of how the investors earn their returns. 

Once done it should be worth at least $120k but im hoping for $140kmy first price quotes for the demo were $13k, $11k, $9800, and $4200 ( a contractor i used prior)the demo is done now ( took 3 days down to joints)My quotes for remodel were $110k, $80k ( i would still have to provided appliances, granite, cabinets, all bathroom supplies), $35k labor only( i buy all materials)I'm going to go with the $35k labor and contractor said materials should be more than $20k so total including demo should be 60k, but gonna have a 10k fluff space.purchase plus closing fees: $9800Renovations plus demo: estimated $60k-plumbing-electrical-hvac-drywall and stods-roof repairso im looking around 70k plus inspection fees ( plan on refi after 6 months to cashout)wondering how much i could rent for in the area?????

We have a rental that needed the carpet removed. We are replacing it with vinyl planks. What we found out is that they gouge you for the matching stair trim . Are any of you dealing with this issue and how did you sol...

Material costs, labor costs, demolition costs are all factored into what an Ins co. will value a property at. 

I deduct price of new blinds (materials and labor) from deposit.

If they are material/significant, ask again and let the agent know that an offer will be made as soon as you have those details.