Investors & landlords

To qualify as a real estate pro, you must:

  • spend more than half (at least 51 percent) of your total working hours during the year working in one or more real property businesses; and
  • spend more than 751 hours a year in one or more real property businesses; and
  • materially participate in the rental activity and any other real property businesses used to pass the 51 percent and 751-hour tests.