We expense the normal/small repairs and put the big repairs into an account called improvements and the CPA takes it from there.

Quote from @Barbara Johannsen: I’m starting to manage a small portfolio of mixed performing and lightly delinquent notes.

Quote from @Barbara Johannsen: When you purchase a performing note, how do you estimate the future buyer market if you want to resell later?

I would recommend keeping track of receipts paid for improvements and renovations.

If not, I know what to do.I would much rather get the note performing and double my money in a year or two, but foreclosure works too.

Actively performing plumbing work for remodels, new construction, and commercial projects qualifies as a real property trade or business under the IRS definition, as these activities fall under construction or reconstruction.

That depreciation helps reduce your taxable rental income.Repairs vs. improvements: Like Scott mentioned above, a little can go a long way.

@Krish Nair Most PMCs will only do both because an owner, like yuorself, will often try to blame them if the tenant does NOT perform:(- So, why would they take the heat for a tenant they didn't screen?

Hey BiggerPockets community / I’m Janene Session, a Realtor, real estate investor, and performance coach based in Virginia.Over the past few years, I’ve been obsessed with one simple question:“How can everyday homeowners and small investors turn what they already have into an income-generating asset — without needing millions in capital?”

Over the past few years, many groups have raised funds and acquired properties, promising investors impressive passive returns.But here’s the real question: how have these syndications actually performed?