You have become an insurance company, only you didn't get a just premium.The potential of rent forfeiture is part of the business in reserving a vacation home, and everyone knows this going in.

Since LA has banned STR for more than 90 or 120 days, requires one to live in the property for 9 months or so and ADU's or guesthouses cannnot be used as STR, how does a host pass the Material Involvement test?

Thanks for the responses everyone, the confusing part to me was if I use the deductions against active income year 1 since STR's are an active business, but then switch to LTR's year 2 which correct me if I'm wrong can't count against active income- if this in some way has a disadvantage with recapture, etc. since the STR business would no longer exist

Their website shows a downtown Seattle address that is likely a condo and not a business office.

I have been involved in over 5k transactions and could lend some help as you begin your RE journey.

You are aware of the hazards of getting involved in S8 housing as a landlord, right?

It is a growing area that is right on Highway 32 so it is continuing to have new businesses and companies moving into the area.

They are not in the business of owning property.

For me, I knew I wanted to work on building out a listing business for luxury homes so I got to work cold calling luxury home owners and building my brand as a luxury agent.

I'm a full time IT specialist AND have my own home inspection business in Southern CO.