It is worth digging into the details with a professional.

If you’ve been in real estate for a while, you’ve probably heard people talk about Real Estate Professional Status (REPS)— but most investors still don’t fully understand what it means or how powerful it can be.Here’s the simple version:If you qualify for REPS, the IRS allows you to treat your rental income and losses as active instead of passive.That means depreciation, cost segregation, and other real estate losses can actually offset your other income — even W-2 income.For full-time investors or spouses who manage their properties, that can mean tens of thousands of dollars in tax savings every single year.To qualify, you need to:- Must materially participate in their rental activities.- Spend over 750 hours a year in real estate activities.- And more than half of your total working time must be in real estate.It’s not for everyone — and you have to document it properly — but for serious investors, it’s one of the most valuable tax tools out there.Most people think wealth in real estate comes from appreciation and cash flow…But the biggest gains often come from how you use the tax code.Curious — have you or your spouse ever tried to qualify for Real Estate Professional Status?

Am interested in a copy of a professional log book as well...thank you...

Do not try to qualify as a real estate professional with a w2.

My wife is a stay-at-home mom but handles leasing, tenant issues, repairs—basically runs the rentals.We’re exploring if she can qualify for Real Estate Professional Status to offset my W2 income.

Research does not count towards the hours per below link.Research: Many investors who claim to be on real estate professional status research other investment properties to fill in the gaps left by their hourly obligations and day-to-day engagement.

Hello BP family! I wanted to post a screenshot of the real estate time log we have made available for clients. We try to keep it simple, and provide examples in the guide for people that are not sure what counts and w...

Proper planning can also improve your negotiating position in legal disputes and potentially lead to more favorable outcomes.To navigate these areas effectively, I strongly recommend working with qualified professionals, including a knowledgeable tax advisor who understands real estate and a seasoned asset protection attorney familiar with your specific goals and risk profile.

The IRS only allows hours that are directly tied to real estate activities—like developing, managing, acquiring, leasing, or operating rental properties—to count toward Real Estate Professional Status (REPS).

If one spouse qualifies for reps and materially participates in the rental activity, then all the rental activity should be eligible to write off any losses against active income to better help, can you describe how your mom is a real estate professional?