We're close to the finish line on an out of state BRRRR project; since most of the BRRRR chatter is from people that are thinking about it or people that have something to sell (looking at you, Ohio crew), I'd thought that I'd share a realistic perspective. 

We're about 1 mile from all the activities that the resort offers.

I see the IRS regs about rental activities being defined as passive, but I don't see anything about a lower rate.I just see that this "passive activity" distinction subjects us to "passive activity loss rules", which limit our ability to offset other types of income with net passive losses.But even that limitation is negated for us because we fall into the "active participation" exception, so we can offset our regular earned taxable income dollar-for-dollar with losses from our rental (if I understand the regs correctly).

Call the city development person and see if you can find out what is driving the growth and if they expect it to continue.Maybe it is a great bedroom city and lots of people commuting to Birmingham?

It is when the property is available to rent.You do not necessarily need earnings from the property to have deductible expenses (again, available for rent is not always the same date as the lease start).REP status is 750 hours in real estate activities PLUS material participation in the activity(ies).Talk to a CPA or tax pro who knows this stuff.

They link to your website + give people a great place to leave google reviews.

So I’m not really diving into buying something right this second but I figure if I meet agents or owners I hear and talk with the front line of people who are controlling these assets and go home game plan research until I feel the time is right.

This is true even if the same person or group of people own both LLCs.

Honestly speaking, I like people that speak frankly, so I was probably a sucker for Engelo's "if I swear a lot I will appear like a straight shooter" delivery.

Have you ever noticed that people can send you a picture of themselves and then when you see them in person you think they look a way different?