All Forum Posts by: David C.

Thanks for this. Exactly the same situation. In chicago, tried chase...

The same happened to me today at Chase so glad to see this thread. I'll be looking for a bank that does it that has a national presence in case I ever have to relocate with work. Sounds like BoA is ok..Is BMO Harrris a nationwide bank or just IL/Midwest?

Great info in these answers. When do you become the partial owner in the eyes of the IRS? The day you commit, the day you wire funds, the day the property purchase closes? for example, what if i commit/wire money in 2019 for a deal that closes end of January 2020? What year can i claim the tax deductions? Tnk you! 

I finally decided to go with the refi even though tough to give up 2.75% on a 15yr. Concluded that I should improve cashflow anyway as not breaking even after all numbers factored in, and that 100k+ equity could be working much harder over nxt 5 years than just supporting further equity build. Tnk you again all!

@Michael Plaks

good advice. Thank you. Would never discourage my wife from pursuing her goals and dreams, and hold her back from what she’s passionate about, when she resurfaces to think about herself again after a year of motherhood. Nursing is not that for her though, for many reasons. So just weighing up options that work for her, and all of our family, both financially and for wellbeing. Knowing the tax law helps to think broader and get more creative. Whatever we decide will be win win.

@Steven Hamilton II

hi Steven,

Is this related to same topic or a seperate tax law to the 750 hour Real Estate Professional benefit (in my case something to consider for spouse in future) tnk you.

https://www.claconnect.com/resources/articles/2019/irs-safe-harbor-on-section-199a-impacts-tax-filing-for-rental-real-estate

Thanks John - good advice. Things will heat up tomorrow so I have some thinking to do tonight. Do you find that in these online auctions there maybe the seller bumping it up to work out the max and push it as far as possible? I don't want to set that max (e.g 80k) now while I'm the highest bidder with a day to go with 52k. For that reason, Is it best to set my max in my head and bid that number 5 mins before end? (maybe my only experience with auctions on eBay 10 year ago is doing me a disservice here ;) 

Hi everyone, 

I'm excited! 

Here's my numbers analyzing a possible BRRRR. I've inflated the repair costs for worst-case scenario, and conservative on vacancy etc.

I've set $80,000 as my bidding limit for a house that comps suggest i can get 150k reappraisal on (refinance after 6 months).

Is that too safe? Should I be braver?
How high should I go with the bidding in that exciting last hour?

Thanks for any watch outs / advice.

Thank you @John Warren and @Michael Facchini - appreciate those responses.  I'm going digest that info. Might be in touch to take you up on your offers. thanks.

Thank you all for the responses so far. What are your thoughts on what seems reasonable in terms of number of units to keep a spouse active and busy enough to make up 750 hours a year?

Important to consider as I plan ahead - e.g. buy more turnkeys SFHs that will need her to manage the managers? or diversify into syndications that will be really passive and not involve her at all in active way?

Will the IRS believe that she can be busy with 3,5,7,10 doors?

Might it help if she manages and we don't have PMs for some of the houses?

Don't want to make Spouse as Real Estate Pro my guiding force in investment decisions but definitely something to consider, right?