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Updated almost 11 years ago,
Tax Questions about Flipping
I wanted some feed back to make sure I am analyzing this correctly. We are considering doing a JV flip and would reinvest funds. I wanted to make sure I am looking at the tax implications correctly. This would be in addition to our W-2 income which basically puts us at the top end of the 25% tax bracket.
Both companies return $1.50 for every dollar spent
Company A does 3-6 month flips so I estimate they would do 3 in 1 year which would make it self employment tax
Company B rehabs and rents and then sells after 1 year. Half way through they would refi to pull out investor funds and reinvest in another project - so 2 a year
Am I doing this right?
- Brie Schmidt
- Podcast Guest on Show #132
Second City Real Estate
20 Reviews
5.0 stars