All Forum Posts by: Eric Lin

I’ve been real estate investing for over 15years, acquiring a large nest egg of net worth. The problem is we aren’t getting much cash flow from the portfolio for a variety of reasons and our rentals, flips, and short term rentals are time and energy intensive. I’m considering selling 8 of our least desirable and profitable properties, which would result in profit of $1.4M. Would like to 1031 that into some truly passive investing that can get us at least a 10% return so we can travel abroad with our kids for a year. I am aware of and learning more about LP positions in large multifamily syndications. (Would love to do GP but still working on that). Any other options I’m missing that could meet my needs?

I look at more than 100 passive syndication/crowdfunding deals each month. Typically they will throw off some sort of regular income from rent and at the end when they sell some sort of final payment from price appreciation.

The % you get on both varies a lot depending on the asset class (for example multifamily versus mobile home parks versus office) and strategy ( core plus versus value-added versus opportunistic). And in general an investor has to take more risk to get a higher return.

These days there's not much that's going to produce a 10% return purely from income/rent distributions. So you would need to supplement with deals that are looking to exit (and stagger them to exit, say every year or so...so you could benefit from the price appreciation boost). However, exits are more difficult to project for sponsors (both timing and amount). And if there were an unexpecte downturn, typically they aren't going to sell until prices recovered. So if you were counting on that for income, it wouldn't necessarily be reliable.

Ian, just curious, where did you find those deals to review? I am new to syndication, and would like off load some of my cash/property to passive investment.

Thanks

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Cheyenne, Wyoming

Amazing, Congrats on scaling quickly!

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She works monday to friday, but only 1-3 hours per day for her job, and spend way more time in real estate.

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Purchased a multifamily, would like to do Bonus Depreciation.

I am stuck at the Cost Segregation

I see lots of people do 20-30% of house value(without land)

example: purchase price $100k, land $20k, other value $80k.

if we take 30%, would be $24k for Bonus Depreciation.

My question:

1. Can I do Cost Segregation like this by myself like this?

2. Do I need to hire professional for this? what is the most common way to handle Cost Segregation

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Boston, Massachusetts

Yes, that is a good idea to prove it

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We are new here, try to do bonus depreciation.

I have high w2 income, My wife has a w2 income of about $100k. She has the agent license, actively manages 10+units and several flip projects per year.

Her time in real estate is more than what her spend in work and 750 hours plus per year. Because she has w2, can she still qualify as a real estate professional?

I just worry IRS may question us, and it is really annoying to track every minute in real estate work.

Any advice on this?

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All Forum Posts by: Eric Lin

Eric Lin has started 3 posts and replied 7 times.

Post: New to syndication, where to find good syndication deals

Post: How to get 10%+ passive income

Post: My First Syndication!

Post: bonus depreciation with W2 income

Post: Cost Segregation algorithm

Post: bonus depreciation with W2 income

Post: bonus depreciation with W2 income