CPA for one rental property?

Question

I will be renting out my current home and purchasing a new home for my primary residence.  I currently use turbo tax for my taxes every year and I wanted to get some advice on whether to hire a CPA to handle my taxes or to continue with turbo tax as I will only have one property.  If a CPA would be beneficial/cost effective, does anyone have recommendations for a investor friendly CPA in the Raleigh NC market?

Bill Hampton · Answer

Jeff,

I recommend finding an accountant that specializes in real estate taxation over one that is local. You may want to consider working with your accountant remotely to expand your options.     I would also recommend looking for a tax strategist who is willing to work with you throughout the year, not just when preparing your tax return. You want an accountant that can help you strategize and who is responsive when you want to know the tax consequences of the decisions you are making throughout the year.Good luck and let me know if I can be of assistance.

Will Fraser · Answer

I would say that a decent CPA would NOT be worth making the jump, but if you can work with an excellent CPA who knows real estate investing you'll have a skilled professional in your corner who is also a solid networking resource.  Never a bad combination if you have aspirations to scale more or do more business in any way.

On a related note:  If at all possible don't stop at one rental home.  This is the deathly hallows that is exciting to be in, but not fun to stay in.  To that end, if this is something you aspire to, then that packs more punch into working with a skilled CPA.