If one spouse qualifies for reps and materially participates in the rental activity, then all the rental activity should be eligible to write off any losses against active income to better help, can you describe how your mom is a real estate professional?

In most cases, the property manager ends up being the one truly running day-to-day operations, which makes it hard for the IRS to see you as “materially participating.”To meet REP requirements, two things have to happen:-You (or your wife) need to spend more than 750 hours a year on real estate activities, and-Those hours have to make up more than half of total working time for the year.The challenge is proving that level of involvement when a property manager is already handling leasing, maintenance, and tenant issues.

No amount of clever advertising or photoshopping pictures will get you over that. 

The way to do this is through advertising here on BP and/OR attracting clients organically.Advertising will allow your company to be featured when someone clicks 'Build Your Investing Team' and Property Managers above.Attracting clients organically entails answering questions on these forums and sharing your expertise to help the community.BiggerPockets does not allow you to advertise on these forums (except the classified section) and that is a good thing.

We obtained the full financial package, and the seller's "Pro Forma" is built on a complete fantasy.The descriptive reason for the high cap rate is that the seller is using deceptive and impossible expense projections.To get their advertised 15.26% cap rate, they are projecting that as their Gross Rent increases by $75,900, their Total Operating Expenses will simultaneously decrease.Here's the breakdown of their math:Taxes: They assume $0.00 in property tax increases, which is impossible.

Are fence materials considered a write-off?

. • This requires significant hours and material participation in real estate activities.• For someone working a full-time W-2 job, this is very difficult to achieve legitimately. 2.

I'm not seeing fluctuations now vs. a few months ago that are having material impacts.

I’ve been hearing from a lot of investors lately about how renovation costs keep sneaking up — whether it’s materials, labor, or even permit delays.

That would be the bottom line, but I wouldn’t advertise the bottom line.