It's a fancy way of breaking down your new property into parts and depreciating some of them faster.

Operating expenses are routine and necessary costs to keep the property in its ordinary operating condition, and they are typically deductible in the year they are incurred.You also mentioned the benefits of classifying something as an operating expense versus a capital expenditure.

So, when you replace something and make it bigger, better, or last longer, it’s categorized as CapEx.On the other hand, repairs are generally routine maintenance tasks that keep the property in its ordinary operating condition.

No need to try to get fancy with extension fees, but you should be extremely careful with your doc prep. 

You can possibly limit his exposure to this tax - but not eliminate it - with some fancy tax planning.

I didn't care about being a "millionaire" or wearing fancy duds or driving a Tesla.

When I questioned the reason for the $1K fee they said they would take me in a limo to a fancy restaurant and take me to see a property they were flipping or a deal they were working on.

It does not have to be anything fancy, just something in writing to establish the "rules" of your investing. 

You will just need to update it with the proper info on where they make payments and who to call in an emergency and for routine maintenance . 

But that’s just Dave Ramsey with fancy software and lots of shuffling.