All Forum Posts by: Byron Valles

Mint is great. Many of my clients like to use YNAB (you need a budget) as well. YNAB is in my opinion more advanced because it introduces a much more forward-thinking strategy that is quite a bit different not just in its implementation, but also in the user’s whole way of thinking. It basically encourages you to give "every dollar a job".

Hi James, 

Here is a little more on why an opportunity zone could make sense. The tax benefits associated with investing in Opportunity Zones primarily revolve around three key advantages:

1. Capital Gains Tax Deferral: If you have capital gains from selling assets like stocks or property, you can reinvest those gains into an Opportunity Zone fund within a certain timeframe. By doing so, you can delay paying the capital gains taxes on those profits until a later date. It's akin to postponing the tax bill, giving you more immediate capital to work with.
2. Partial Reduction of Capital Gains Tax: If you keep your investment in the Opportunity Zone for at least five years, you become eligible for a 10% reduction in the deferred capital gains tax. If you hold onto the investment for at least seven years, this reduction increases to 15%. This incentive encourages longer-term commitment to the development of these areas.
3. Tax-Free Growth: The most attractive benefit is related to the investment's appreciation within the Opportunity Zone. If you hold the investment for at least ten years, any capital gains earned from the appreciation of the Opportunity Zone investment become tax-free. This means that any profit your investment generates over that time period won't be subject to capital gains tax when you sell or cash out.

I hope this helps. 

Byron 

I'm so glad I bumped into this post. 

I'm finishing up my Detached 400sqft garage to ADU conversion in the East Bay (Concord) After speaking with a few Design-build companies who all quoted $200K+ I decided to go the owner build route acting as the GC and just hire subs. It's worth mentioning that I have no experience in construction but figured the project was relatively small so i'd be prefect to learn.

All in cost will be $80K (including design, materials construction, permits, finishes etc.) and total time 11months. 

Now I've decided to add an additional 2bed ADU and really struggling to decide if the time/energy trade off is worth going with a prefab vs acting as GC again.

Same situation here. In escrow for a duplex in my own name where both units will be rentals down the line. I wonder if a separate personal account would suffice or if there if it would be smart to go the sole prop route....