All Forum Posts by: Darryl S.

Good info, it sounds like I will need to be careful to segregate the Depreciation recapture which would probably be classified as "ordinary income"  I have an inquiry out to the Belpointe PREP OZ fund to get all the details.  Would be super simple if it is set up like a stock where you can buy in and sell off as needed to effectively spread the gain over a period of tax years. Since I am retired and have been able to par my normal taxable annual income down to a bare minimum it might be possible to use a small portion of the capital gains in future tax years at Zero tax rate or at least at a very desirable low rate. The key seems to be not letting this current tax rate issue push me into making a rash Risky investment that could end up costing more than simply paying the excessive taxes now!  

Thank You very much. I will certainly check that out.  

Pulling up the Etrade site now LOL. Is that YieldMax ETF a Qualified Opportunity Zone Fund per chance? 

Looking for some information on Qualified Opportunity Zone Funds. Has anyone used one to "store" some excess capital gains to defer Taxes?  Some background I am retired and sold down some of my highly appreciated rental business assets in early 2024 and I will have around 1/2 Mill Capital gains for 2024 taxes. I am NOT interested in owning any more real estate (retired here man) so I had planned on just paying my 15% long term Capital Gains tax rate and moving on to my "safe money" retirement program of MYGA's / CD's and High yield Savings account / Bonds / some Stocks. However there is this really REALLY Nasty IRS Rule called AMT that has me looking for a way to spread this gain over a few years. Is a Qualified Opportunity Zone Fund just an investment fund like buying mutual funds etc?  If so maybe I can buy into it and pull the money out annually to stretch the capital gains over a few years? If anyone has done this successfully please let me know. Not a lot of info on the internet about these that I can find at this time... Tks D

 Laura is a little bit late to the party on Nvidia. i bought Nvidia when it was under 200 a year or so ago and last time I looked it is over 600 so the upward curve may be about over or slowing. That is my best performer for 2023 LOL. 

I am just starting my search for seller finance info myself, I have a tenant that wants to purchase a paid for rental that he lives in. From my limited understanding one important thing you would want to do is follow a template so that the note is sellable in the future. I am hoping that you guys have found some good resources  (since this was posted in Jan 2022) and are willing to come back and update this post with some info. I am not sure where to start... Tks D 

Great News. Renter paid on 10th along with all late fees so crisis is averted for now. We may have to adjust the way we live until a vaccine is developed but the outlook is better than it was just a few weeks ago.  

I have 1 tenant that has not paid but he has a history of being late and pays the late fees. I only have 4 SFH's to deal with so not exactly a wide sample here LOL but to me that is 25% loss of revenue! None of my tenants have lost their jobs, or is out of work even temporarily. If the crisis eases in the next couple of weeks I do not think there will be any serious long term repercussions.

If this chronic late payer had a better payment history I would waive the late fees but he has NO excuse except for pure laziness. I always place a Pay or Quit notice on his door when he is late just in case I need to file an eviction. In TN they have a moratorium on evictions till April 30th that is right around the corner now. 

I will check that legalshield thing out "thanks Joe'. Great summary on the Dodd Frank law "thanks Brian". Looks like the law is not quite as onerous as I had first thought. I did not plan on selling property on a owner finance without getting the qualification paperwork so this should work out just fine. It looks like it may take a while to do all this though as you can only do three deals per year. Now I just have to find out if my current closing company can help me out and see if my local bank  is willing to service the loan. I have a starting plan thanks to all the help here at BP. 

Curt I am a bit confused by your post Quote "Or more appropriately you work backwards from the rent, pick mortgage payments to be 1/2 of rent, then 6%, then what is the term that pays down the selling price to zero. A financial calculator problem."  Hoping you can detail that out a bit more for me I am pretty slow sometimes on figuring things out........     

I do have a couple of questions on a owner finance deal if anyone cares to chime in.

1. How do you handle the Property insurance on your deals. Does the buyer pay that? 

2. How do you handle the Property taxes. 

3. What clauses do you like to put in your contracts to protect your interest? For instance this property has some timber, my thought on that is if it is cut off ALL proceeds must go to pay down the loan. Looking for ideas here, talk to me BP         

Thanks Steve. we started out approx 15 years ago. Only have a hand full of properties. I just wanted to supplement my retirement, not get rich LOL. I will check with my regular closing company to see what they can do for me on the paperwork that sounds like a great idea. Great tip on the local bank service too I will for sure be following up on that.  Someone else had mentioned that if I deal with investors that I do not have to worry about the new laws. If you have done many deals with investors you know that is probably not going to be a a very logical choice LOL. Homeowner is the way to go I think but I am not sure if that is going to restrict how many I do a year or what. Lots of conflicting information (as always) on the internet.