You must be able to answer yes to both questions to qualify as a real estate professional. Only time spent on real estate activities count. Time spent managing your investment portfolio does not count toward the requirements. Also, if your wife is a W-2 employee of the real estate firm (this is uncommon), her time doesn't count unless she has an ownership interest in the firm.
Please follow this link for more information. https://www.irs.gov/instructions/i1040se/ch01.html#d0e234
