Just wanted to show another opinion :)Your interpretation of my position is correct - if the sponsor has no capital in the deal whatsoever or risk other than their time, then I'm out.

@Shirley Gregory a 1031 Exchange is short for a Section 1031 of the IRS tax code which specifies that you have to exchange “like kind” property so selling a rental and trading it for a primary residence property won’t qualify as an exchange of like kind property and you would have to pay taxes on it.

Unless they said they would be willing to trade labor or a lower price for equity, it would instantly rule out using that contractor.

Anytime you're mixing your living situation with your investment goals you need to carefully consider what trade offs you and your family are willing to make.

It's part of the ritual to trade cards. 

The trade or business standard to qualify is not really very high and is typically understood to include the activities of your agents (which includes PM activities in my case, making it very easy for me to claim). 

So if I am a very large bank, that might be publicly traded, maybe I don't want that exposure.  

There are plenty of other sales-type jobs that might actually teach you more, or help you grow, about the trade than being a lone real estate agent/investor.Just my two cents... but the final decision is, of course, yours

Occasionally I’ll offer financing to others but mostly trading paper. 

So that is 15 lost years there of ZERO growth whatsoever.