Taxpayer and spouse own 4 real estate rental properties – 3 are single family homes and 1 is a mobile home park with multiple single family rentals. Each property is held in its own LLC – so there are four 1065 returns. All are operating at a profit.
From what I understand the aggregation rules are the same regardless of if property is held directly or via a passthrough. Must all residential real estate be aggregated - even if it's different types of residential real estate? The mobile home park meets the 250 hour safe harbor rule. The others do not. Can three single family homes be aggregated while the mobile home park is not? It is residential but it is different in nature than the single family homes. Is there any downside to aggregating?