All Forum Posts by: Cristin Andrews
Cristin Andrews has started 13 posts and replied 66 times.
Post: How to calculate deduction from deposit for carpet when installing vinyl to replace
- Rental Property Investor
- Houston, TX
- Posts 70
- Votes 33
Quote from @Richard F.:
Aloha,
You would also need to account for the depreciation of the three year old carpet. I believe carpet is either 5 or 7 year life for IRS purposes, so you will be around 50% depreciated.
Thank you - I'll make sure to do that
Post: How to calculate deduction from deposit for carpet when installing vinyl to replace
- Rental Property Investor
- Houston, TX
- Posts 70
- Votes 33
Quote from @Michael Peters:
Carpet has a 5 or 9 year depreciation depending on your tax strategy. The Department of Housing and Urban Development uses the 7 year guideline which is what we use. I also include a general rule of 3 turnovers typically means new carpets should be expected. With great tenants you can absolutely get carpet that lasts longer.
Have your installer to bid both carpet and vinyl. Prorate the cost to replace just the carpet. Using the 7 year rule the tenants would be responsible for ~57% of the replacement cost.Here is a link to the IRS publication. You can find the depreciation scale on page 9.
https://www.irs.gov/pub/irs-pd...
Thank you so much!
Post: How to calculate deduction from deposit for carpet when installing vinyl to replace
- Rental Property Investor
- Houston, TX
- Posts 70
- Votes 33
Quote from @James Mc Ree:
You can get a few quotes to replace the carpet with a similar grade of carpet to establish the cost. The tenant would pay to replace the carpet and you could do whatever you want from there.
Thank you. So that would be legal and they wouldn't be able to claim I charged them for something I didn't install?
Post: How to calculate deduction from deposit for carpet when installing vinyl to replace
- Rental Property Investor
- Houston, TX
- Posts 70
- Votes 33
Hi. My renters absolutely destroyed beyond regular wear and tear (playdoh ground into carpet and dog stains and rips) the carpet that I had installed in the unit just before they moved in. They were there 3 years. I will need to replace the carpet in the entire upstairs (downstairs is tiled) and I would like to install vinyl instead upstairs. If I do this - can anyone advise how I would itemize/document/calculate the cost to the renter for the carpet replacement for the purposes of justifying the deduction from their deposit?
Post: Need property manager NW Houston/Cypress B area
- Rental Property Investor
- Houston, TX
- Posts 70
- Votes 33
Single family house rental. Only the one for now.
Post: Need property manager NW Houston/Cypress B area
- Rental Property Investor
- Houston, TX
- Posts 70
- Votes 33
I’m looking for a good property management company for Cypress area of Houston.
Who do you recommend and what percentage are you paying? Thanks in advance.
Cristin
Post: Harris County 'Utility/Irrigation' tax increase bomb notification
- Rental Property Investor
- Houston, TX
- Posts 70
- Votes 33
nothing yet
Post: Real Estate Investing in Houston, TX
- Rental Property Investor
- Houston, TX
- Posts 70
- Votes 33
@Nidal DaraisehI'm still investing in Houston
Post: Tax Lien on SFR I want to purchase
- Rental Property Investor
- Houston, TX
- Posts 70
- Votes 33
Thanks guys. This was exactly what I was looking for.
Post: Tax Lien on SFR I want to purchase
- Rental Property Investor
- Houston, TX
- Posts 70
- Votes 33
Hi. Looking for some advice. I’m making an offer on a property with 12k property tax lien. The price of the deal has been raised to include the lien so it can be paid off at closing. My question- what are my options if the property will not appraise for this new value? This is a financed deal with title company insurance.