Buying real estate with my existing home service business

[Eric Salgado]

Hello BP,

I have some out of state rentals and have a pretty good team set up to continue to scale. On top of that I have a separate home service business that has seen a few really good years recently. My question is to expedite this growth can I buy rentals with my existing home service business? It's an S-Corp and my partner and thought with the recent success of the business to purchase real estate in my out of state market.

My question on top of that is when we use the money as a down deposit on a piece of real estate from my existing home service business is that considered a "distributor" when we pull out capital to buy real estate? For example 100k in profits and use 25K as a down deposit and maybe 10K in repais, would only 65K be considered taxable on my S-Corp? Also how are taxes passed through when the S-Corp owns the business?