What is the STR Loophole?

In this video Thomas discusses what the short term rental loophole is, and how it can save you thousands!

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[nhseacoasr]

Same here. Clicked because it was the shortest 👍

[dsiddartha]

How do we prove that the guests stayed for less than 7 days as an average if the bookings are outside AirBnB and furnished finder?

[varun]

If I work with a property management company for my STR (it's in a different state), does it mean I cannot take advantage of the STR loophole?

[SALVATlN]

Clicked on your video because it was the shortest just so you know

[dakkon]

What are considered substantial services? Are weekly cleanings sufficient? What are the material participation tests? Are they similar the the material participation test to be a Real Estate Professional? What are the implication if you house hack a STR?

[lizcaacbay]

Hi new in STR! Maybe a silly question. How do I compute for average rental day? And target is to get the STR loophole. (We do hybrid, MTR, just added STR in between. ) Do I just add all the dates booked and divide by guests who booked?
Or will it be.. lets say I have 3 tenant that did 2-3 mos; and have 10 guests that booked than 7 days- will this 2nd situation be qualified as an STR loophole? Your answer will be so much appreciated! Thanks for sharing your video!

[jzawahri]

Hi Tom, Would I be able to claim Real Estate Professional Status (REPS) to take advantage of the STR loophole (use the losses to offset W2 income) if I made the rental property available in December and had a couple of 2-day renters? knowing that I cannot spend 100 hours in 2023 but have materially participated. In other words, would I be able to make the most of the cost segregation report for the 2023 W2?

[saltyporcupine]

is capital gains from selling a business considered active or passive income? And can bonus depreciation help offset this?

[easymoney]

What are the 7 material participation rules?