But the most important component of any real estate syndication is inarguably vetting the sponsor and understanding the business plan and how your money will be used during the plan. 

The allocation of building components to § 1245 property is often a contentious issue.Property allocations and reallocations are typically based on criteria established under the Investment Tax Credit (ITC).

Verifying last 2-years of rental history and income/employment extremely important to find the “best of the worst”.Tenant Default: 20-30% probability of eviction or early lease termination.Section 8: Class D rents meet program requirements, often challenges to pass Section 8 inspection.Vacancies: 20%+, depending on market conditions and tenant screening.Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciation.Where did we get our FICO credit score information from?

This ensures that development aligns with citywide planning goals.How Real Estate Agents and Investors Benefit:For agents, this creates a new way to pitch sites that were once off the table.

How much and what type of real estate do you want to purchase? 

I do recall that when I rebuilt a cabin, I had to wait until completion before the real tax benefits began.

DSCR loans are based off of down payment, credit score and either actual or market rents so it helps to supercharge an investor's real estate goals and net worth.

If he is not interested in purchasing more homes via 1031 exchanges you could suggest 1031 exchanging into passive real estate; specially Delaware Statutory Trusts. 

Rent reliability is a pro — but tenant quality and maintenance expectations can be a challenge.That said, the potential is real:•Rent is direct-deposited every month.

I’d focus on getting a stable income first (even part-time), building credit, and saving for an FHA loan (as low as 3.5% down).