First time Home Buyer Need Tax advisor in Sacramento area.

California Real Estate Q&A Discussion Forum
8yFollow

First time Home Buyer Need Tax advisor in Sacramento area.

Richard Cisneros
Rio Linda, CA · Member since 2016 · 4 posts · 1 vote

I have been a Moderator on a World Wide Motorcycle Forum before and I always encouraged new Members to Please Introduce yourself and so far from reading on this site it is no different here, so this is my first Post!!!

I am a 52yr old male work in the Electronics Communications field currently a Staff Engineer. I never looked to the Future for Retirement I was mostly concerned with just riding my motorcycles going to work to pay some bills and just ride like I have been doing for over 35yrs.

Well that almost came to an end last year when someone decided to run a Red Light Late I T-Boned a Truck on my motorcycle on my way to work and am lucky to be alive to type today.

To make a long story short I am getting a Settlement enough to buy a home cash if I want but looking to invest in Rental property to help supplement Retirement. I start Air Force National Guard Retirement Pay in 8yrs and hopefully if still available Social Security a few years later that's where Real Estate comes in I don't own a home 1 child 17yrs old, not married I need a Long Term Residence at least a 1/2 acre 3 car garage for tools I like to tinker with everything but I also would like space.

So after I get the first part of the plan done looking at Rental Investing I bought the book from Brandon Turner ( Rental Property Investing ) reading that now so combined with signing up to this forum I believe it will be a good start to my goals. Thanks for Reading.

Richard

1Reply
21 views

6 Replies

Jump to latestLatest
  • Richard Cisneros
    OP
    Rio Linda, CA · Member since 2016 · 4 posts · 1 vote
    8y

    Hello,

    First time home buyer always took standard deductions before i bought my first home, but I did a VA loan and paid over $8000 in VA funding fee 0 money down otherwise if you don't include fees for a $387k home in Rio Linda, Ca. Last year only one child 17yrs old single head of house hold got over $2000 back from the Fed. Government same work pay each year. Now child is 18yrs old still dependent full time student and lowered my Gross income from $76k to $58k by putting 18k in 401k i'm 53yrs old so doing catch up....I used turbo tax like i do each year and it says I will only get $600 back this year.....something is wrong I need a tax advisor or if this sounds normal please advise.....thanks in advance.

    0Reply
  • Mike B.
    Investor · Los Angeles, CA · Member since 2014 · 176 posts · 93 votes
    8y

    Aim High! Air Power!

    Welcome to the BP forums and congrats on your not-too-distant retirement.

    You're questions could be answered in sooo many ways, so it's probably best for you to explore the forums and find a strategy that is interesting to you to pursue. 

    Owning real estate as a primary home and rental investment property can bring you some tax advantages/deductions.

    If you want your own space, you'll need to consider a wide variety of investing options that bring in cashflow, but will require your to make multiple payments on multiple properties.   If you're open to sharing the space, then look into what's referred to as "house hacking" where you rent out rooms in your home or your guest house, or you buy a duplex-fourplex, live in one of the units and rent the rest to cover your mortgage plus profits. 

    Good Luck.  Stay safe of the bike bro. 

    0Reply
  • Richard Cisneros
    OP
    Rio Linda, CA · Member since 2016 · 4 posts · 1 vote
    8y

    Thanks Mike B. but looking for tax advise...something is wrong for this New Home owner....I will invest though in the future on this 1.3acre property and many others but still new to the game.

    0Reply
  • Meredith L.
    Rental Property Investor · San Diego, CA · Member since 2016 · 61 posts · 58 votes
    8y
    Hi Richard, I have someone in the Sac area I’m happy to recommend. Send me a message and I’ll give you their info!
    0Reply
  • Basit SiddiqiBusiness Member
    Accountant · New York, NY · Member since 2015 · 8k+ posts · 3k+ votes
    8y

    @Richard Cisneros

    owning a personal residence does open you up to more deductions(mortgage interest and real estate taxes) which are taken on schedule A as an itemized deduction.

    How did you report the settlement income? A portion(if not all) may be tax exempt.

    How long were you not working as a result of the incident? It is possible that you worked less and then withheld less which resulted in less of a refund.

    There is no way to find out unless you reach out to an accountant and he has all the information infront of him.

    it is impossible to determine how large a refund you should be getting with piecemeal information.

    [email protected]917-280-8544
    Basit Siddiqi CPA4.979 Reviews
    View Page
    0Reply
  • Sergey TkachevPro Member
    Investor, Agent, CPA · West Sacramento, CA · Member since 2009 · 690 posts · 262 votes
    8y

    @Richard Cisneros, welcome to BP and thank you for sharing your story!  It's a good reminder that we should be thankful for every day we have on this earth.  Make sure to take full advantage of Biggerpockets - the forum, podcasts, articles, etc, it's a wealth of information.  Networking with local investors is also a big plus.

    As to your tax question, as mentioned earlier, there can be many factors at play and you really need to present a full picture view before a tax advisor.  It's definitely hard to provide a reliable answer given only partial information.

    0Reply
Join the conversationCreate a free account to reply, vote on answers and follow this thread.
Log InJoin for Free