What’s the minimum a partner needs to do in an LLC (owning rental property) to be considered active enough to avoid it being labeled an investment security under the Howey Test?

I am currently learning about real estate investing and preparing for my first small multifamily property, ideally a duplex or triplex, through an FHA or other low down payment program.At this stage, I am focused on building knowledge, analyzing deals, and understanding financing options so I can be ready when the right opportunity appears.

🏗️ Top 5 Things Developers Should Prepare Before Seeking Mezzanine CapitalEver had your senior lender stop short of your target leverage?

One thing I’ve noticed in working with investors is that a well-prepared deal package can make or break an approval.

I will keep that in mind as I continue learning and preparing for my first purchase.

Quote from @Tiamo Wright: We have had a great tenant in place for the last two years and I want to prepare for their turnover.

Right now, I’m preparing to get my Michigan real estate license and in the process of starting my own company, Home Sweet Homes Realty. 

I'm finishing up an MBA in Data Analytics at Clemson and hold a bachelor’s degree in Industrial Engineering.I'm preparing to co-found an LLC with a fellow Army Captain as a 50/50 partnership focused on long-term rentals and BRRRR projects, or potential flips depending on cash flow.

After hearing about this STR Loophole, I reached out to my tax preparer to see if she was aware of this. 

That way, you can see if you need to change anything before you jump into the higher risk projects.I've also seen a lot of deals where the seller is a tried OOS investor who fell on their face because they jumped into the market blindly without the right preparation and connections.