The reason I ask is because a handful of clients that are interested in investing are using self-directed IRA funds (through Pensco or Entrust), and therefore cannot take advantage of the depreciation - being that its retirement money and they don’t have deductions/losses to use.

The reason I ask is because a handful of clients that are interested in investing are using self-directed IRA funds (through Pensco or Entrust), and therefore cannot take advantage of the depreciation - being that its retirement money and they don’t have deductions/losses to use.

Can you make up fake profit-loss statements for your tax returns? 

Flipping is much riskier and you need to have a lot of capital lined up or people with money. 

I've been in account selling for some time not real estate but capital equipment, and yes it is different but building a rapport and finding connection with a seller trumps coaxing them into sign the contract as fast as possible.

There is NO SUCH thing as a guarantee in fact when investors invest with companies there should be language spelling out risks and the potential loss of the whole investment as a possibility. 

Whats going to help me decide between the two is whichever is easier to get started in without a ton of financial capital.

As you state your intent was to double-close - a universally legal way to wholesale - you may have some of the same remedies available.If your losses amount to enough that it's worth it to you, I'd talk with a local attorney.Let us know how this all works out. 

That's one of the great benefits of MFR's and I'm glad to see other investors like yourself capitalizing on this great opportunity we have with real estate.

Then if we have enough appreciation we would sell it and possibly re-investing in another larger building using a 1031 exchange to defer capital gain taxes.