This reduces upfront capital risk while testing how much active management he’s comfortable with.Another layer to consider is tax efficiency.

As we started peeling back the layers in those areas more termite damage showed itself.

@Roger Hobbes money for Argentina, tax cuts for the rich, refurbishing new planes from international governments, hiring masked agents to harass the public, buying bombs and bullets... but not enough money to provide decent healthcare or education.

Once you’ve got a few deals and real cash flow, then layer in LLCs or a Wyoming holding company.

When I’m evaluating a refinance from an investor’s point of view, I look at a few layers beyond the basic breakeven timeline and return on cost: Opportunity Cost of Equity:I look at what else that same equity could be doing if you didn’t refinance.

How do you handle due diligence when your deal involves multiple creative financing layers?

In fact, there're several "layers" of restrictions, including "at-risk" rules, basis rules for pass-through entities, hobby rules, new (as of 2021) "excess business loss" rules, special rules for Section 179 and business interest, self-rental rules, vacation homes rules, and more. 

What is the minimum way layer I should look to install and what other features such as click or gluedown in the LVT should be a must have to keep it tenant friendly?

They’re not just working harder; they’re working smarter with the S-Corporation tax strategy.But before we dive in, let’s clear one thing up:*This only works for active income.That means flipping, wholesaling, commissions, construction, or property management income.It does not apply to rental properties or long-term passive investments — and putting rentals inside an S-Corp is one of the worst tax mistakes you can make.Let’s break it all down:Step 1: Why the S-Corp Exists (and Who It’s For)An S-Corporation (S-Corp) is not a special type of company; it’s a tax election.You can form an LLC, then elect for it to be taxed as an S-Corp.It’s perfect for people earning active income — anything where you work for the money:-Flipping houses-Wholesaling deals-Real estate commissions-Property management fees-Contracting or constructionHere’s why:A sole proprietor or regular LLC pays self-employment tax (15.3%) on all net income.An S-Corp lets you split your income between:a “reasonable salary” (subject to payroll tax)and “distributions” (not subject to self-employment tax).That simple shift can easily save five figures a year once your business income hits the six-figure mark.Step 2: How the Wealthy Use It to Build Explosive WealthHere’s the play wealthy entrepreneurs use again and again:They pay themselves smart, not just more.Set a reasonable salary — what the IRS expects for your role — and take the rest as distributions to cut payroll taxes.They reinvest the savings.The extra cash that would’ve gone to taxes gets redeployed into more flips, marketing, or acquisitions — compounding their growth.They hire strategically.Many bring family members into legitimate roles, shifting income and creating generational wealth legally.They layer entities.Example:S-Corp runs the active business (flipping / wholesaling / management).LLCs hold the long-term rentals.That separation protects liability and keeps tax treatment clean.Why S-Corps Don’t Work for Rental PropertiesHere’s where many investors go wrong — using an S-Corp to hold rentals.

There are good deals out there, you just need a knowledgeable agent to help you find them and eliminate the layers of risk to ensure it cash flows.