However we have also turned over a couple of properties within the fund during this time, under the assumption that as long as any proceeds stay in the fund, are reinvested in qualified property within a 180 day period...and we meet the 90% asset test June and Dec, that cap gains from these 'flips' can also be parlayed with a basis step up at the end of 10 year. 

**Real feedback** from investors and agents who want to test this and see if it meets your needs better than current lead gen/assistant solutions. 2.

There are 7 tests but easiest way is to work 100 hours and more than anyone else's time. 2. short term rentalsrequirements: average stay of 7 days or less, 100'hours and more than anyone else's time (or one of the 6 other material participation tests), not use it too Much for personal use, and not hire a property manager.

we got soil testing for septic done which wouldn't support doing a dense mobile home park but would allow for a few homes.

For deal one, go light rehab (paint/flooring) to test your team instead of tackling roof/foundation/HVAC.

This means the average stay at your property cannot be more than 7 days, you will need to pass the tests of Material Participation or being a Real Estate Professional, and keep a log of the hours you spend performing “activities” for the real estate.In order to Material Participate, you need to pass one of the seven tests for Material Participation on the property.

A good stress test is to underwrite as if you had to rent the property long-term—would it still cash flow or at least break even?

Further, even using your hours presented it wouldn’t be greater than the 1st quantitative test for REPS.

Yes, your wife can qualify for Real Estate Professional Status (REPS) if you file jointly—even though you’re the W-2 earner—since only one spouse needs to meet the REPS tests.

Not only will the 1% fail this test, but it will also be difficult to find an investor willing to take on the risk for 1% of the project upside.