But -- rant incoming -- as @Erin Spradlin, resident midterm rental expert in our household would probably ask you, why limit your targeting to just one demographic? 

However, an essential exception emerged in the 1990s, allowing specific rental income to be categorized as non-passive.

Our Situation:Two couples, new to real estate investing, each with one working spouse with a high income (W2 and 1099) and one non-working spouse plan to go 50/50 on a new construction STR which will not close until Spring of '25. 

Their source of income is critical as they have no backstop (sick days, health insurance, etc).

Not sure … I may just reach out to some friends in that income class and get their thoughts.  

That sounds like total theft of all the rental income that should be mine. 

Side question, assuming that you have a pretty strong income from work, would you hold your commercial real estate as long as you can and to by another on top of the existing one or would you 1031 to a bigger commercial real estate instead?

Still a great market for owner occ/house hack, but again it's not a high income area so rental rate is going to top out a bit in my opinion. 

This step is about generating income from your investment.Refinance: Once the new properties are stabilized (occupied by tenants and generating income), look into refinancing them based on their new, improved value.

I just want the option to retire at any point not that I am going to, I enjoy what I do.