I'mAlex, a construction professional with 30+ years of projectmanagement experience (projects ranging from small residential to$4M+ commercial) transitioning into real estate investing.

We’re looking for a tax professional who understands medium-term and short-term rental properties.

As a seasoned investor with capital cushion using it as true leverage would appeal to me if the rates were lower than they are now.

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?

Hi BiggerPockets,
In my search for a hard money lender I found someone who in return for %100 financing is only changing me 4%, on a 30 year term loan. 1% down payment. No points. No early repayment fees. No POF, no ...

It is worth digging into the details with a professional.

It’s technically possible to qualify for Real Estate Professional (REP) status with out-of-state rentals, but in reality it’s very tough to pull off.

True.

Exhibit 4.4: Activity Log Business/Property:__________________ Year:____________ Complete the following by day:________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________Under penalties of perjury, I declare that I have examined the information contained on this worksheet, including attached worksheets and statements, and to the best of my knowledge and belief, it is true, correct and complete.__________________________________ ___________________ Signatures (both spouses, if married) DateReg. § 1.469-5T(f)(4) provides that reasonable means for proving hours may include a statement of services performed AND approximate hours based on appointment books, calendars, etc.

As far as the deal goes, it might not be too good to be true, however, I would try to understand the exact neighborhood grade.