All Forum Posts by: Dorian Gray

I have about 950k in properties. I have about 550k in equity, one property is completely paid off. Recently after some medical issues(I’m all good now) I’ve exhausted all my reserve funds and have 50k in high interest debt. I am thinking to refinance my paid off property. Just not sure if I should just get the 50k to pay off my loans or get more cash out of the property for reserve funds

0 Votes

Columbus, Ohio

Quote from @Bill B.:

@Jimmy Lieu

I meant if it was a rental first we only get a prorated portion tax free today. It used to be 100%. You could have a 10 rentals for 20 years and then move in to each one for 2 years and sell each of them tax free. Today you would get less than 10% tax free on each one. (22 years of ownership and 2 years as primary = 9%).

What you would have to do is is exchange all 10 in to 1 or 2 properties and rent them out for a couple years. Then make it your primary for 3 years (to exceed 5 years of ownership) and get 60% tax free. Better than 9% but still not 100% like “the good old days”.

Today you only get 100% tax free if it was your primary BEFORE it was ever a rental AND you lived in it 2 of the last 5 years. I think this means only 3 years max as a rental to sell tax free. I don’t BELIEVE even a primary for 2 years, rental for 10 years and then back to primary for 2 years is tax free. But it definitely can’t be a rental first.

I actually did live in each property for a year before I rented them out. Now they’ve been rented for roughly 8,7,6 and 3years. If I were to move back into each for 2 years I could sell without taxes on the gains possibly?

0 Votes

Columbus, Ohio

I’m considering getting out of real estate investing. The thought came to mind of selling my properties (4) and getting a single family residence, renting that out for a couple years and then moving into it, converting the property into a primary residence and then after living there for a few years selling it, hoping to not pay taxes on the gains since it is a primary residence. Is this legal? Is it capable of being done?

2 Votes

Columbus, Ohio

Thanks Alex! Can I ask why you don’t lend in Ohio? Just curious if there are legal barriers or purely a geographical barrier? Do you know of anyone in Ohio that does this, or how I would search for this kind of lender?

0 Votes

Columbus, Ohio

No I have good credit. Think my three scores are 805, 785, and 790

0 Votes

Columbus, Ohio

Thanks for the insight, do you know what companies offer these loans? Have you done business with any?

0 Votes

Columbus, Ohio

Quote from @Paul Defngin:

Quote from @Dorian Gray:

I’m not 100% sure, it was with chase though

Chase would most likely be a conventional financing. If your Schedule E shows repairs that are considered one time or long term capital expenses such as HVAC, Roof, etc, and you can document it with invoices, then you should be able to add them back like depreciation amongst other things. This is where you need to be communicating with a good CPA to properly document your expenses.

If conventional financing does not work then look into alternative financing. There are loans that will will allow you to purchase an investment property with just using the property market rent to qualify for the mortgage, provided that the rent covers at least the mortgage. That said, they usually have a minimum loan amount of $150,000 and requires at least 20% down payment, for the most part.

Good luck.

0 Votes

Columbus, Ohio

I’m not 100% sure, it was with chase though

1 Vote

Columbus, Ohio

I applied for some mortgages recently and was declined based off my schedule E losses last year, one property had large repairs to be done. I was hoping to obtain another property, I already own 4 properties(6 units) one of which is paid off, and was looking for some advice on how to go forward. I have a lot of equity in the properties and have a around 15k for a down payment currently. Anyone having any advice for me?

3 Votes

Columbus, Ohio

Hello, I’m looking for some private money in Columbus Ohio to buy a rental property. Does anyone know of any lenders? I currently own 4 rentals with a total of 6 doors. I was going to go to a meeting that I read about on these forums at Tommy’s pizza in Dublin, but doubt they’re holding the meetings in the age of corona. Any advice would help

2 Votes

All Forum Posts by: Dorian Gray

Dorian Gray has started 5 posts and replied 11 times.

Post: Cash out refinance

Post: Converting 1031 property into a primary residence

Post: Converting 1031 property into a primary residence

Post: Looking for financing help in Columbus ohio

Post: Looking for financing help in Columbus ohio

Post: Looking for financing help in Columbus ohio

Post: Looking for financing help in Columbus ohio

Post: Looking for financing help in Columbus ohio

Post: Looking for financing help in Columbus ohio

Post: Columbus Ohio private money