All Forum Posts by: Doug Pape

Ben, thanks for sharing such detailed information.  Can I ask what program/spreadsheet you used to run the numbers?  I'm always looking for the next best spreadsheet, lol.  

Dave thanks for the information.  I am definitely interested in covering all the bases and making sure I'm within the law.  I'll be sure to share with my accountant.  Thanks everyone for the help.  

Bill, much appreciated.  On my appraisal it shows the value that he assigned the cottage in the comps.  So they have the subject property +30k compared to a property that didn't have a cottage. That is where I am getting the valuation, which differs widely from the sq footage valuation percentage.  

Chris thank you for the real world example. I'm gathering that as long as you have a "method" that can be backed up by supporting documentation your good.  Although an audit would be the ultimate test of that theory.  I cannot find any direction in the code so it seems to be a grey area.  Again thanks for the help.

We are exchanging into a multi family property that has a main house with a small cottage in the back.  We plan to occupy the cottage and have a value calculated off of the appraisal comps.  Can I use that value as a percentage of of the total sale to establish the owner occupied and investment portions so that none of our 1031 funds go to the owner occupied part of the property?  Thank you ahead of time.  I have looked but couldn't find this particular answer.  

Does anyone have experience with the online tool called 401k optimizer.  I am trying to build diversification in my financial plan and want to keep my tax advantaged monies in the market as opposed to leveraging into real estate but do not want to use up decision energy that can be used to find my next real estate deal.  Any practical advice or experience is greatly appreciated.  Thank you for your time.

I am trying to educate my self on the financing side of the deal and cannot seem to wrap my head around getting a HELOC vs selling outright. Does anyone have experience with how to run these calculations or at least what to consider when weighing my options. I have a hard time wrapping my head around paying for loaning myself my own money. Any good experiences out there?

Thank you both.  I have been finding deals in the 9-13% range and didn't know if it was worth chasing the glowing 16-20% return that I would need.  I think a more common return in in the 6-12% range and takes some sophistication to get above the common return.  

A message I hear repeated in all things real estate.  Very good advice, thanks for answering.

I have 300k and looking to turn it into 4-5k monthly net cash flow with SFR or mulitfam rentals. Am I crazy or this a reasonable return.