All Forum Posts by: Felix Stone

@Basit Siddiqi Both scenarios apply here. Expense listed but not picked and Expense not asked about. 

@Carl Miller. - That is a great and elaborate response. I am really focusing on this area the next couple of months so great to hear validation from you on this regard. Thank you so much #alwaysbelearning

Hi All - Unfortunately I have lost trust in my CPA after reviewing my latest tax returns(they missed major expenses that I had to call out) so resorting to this community for learning and knowledge while I also look for a new CPA

I bought a property in my own name in February and then bought another one in LLC 1 in May and then a 3rd one in June in LLC 2. Both LLC 1 and LLC 2 are disregarded entities owned by my holding LLC. I have separate bank accounts for personal property, LLC1, LLC 2 and Holding LLC.

My question is around non-property related expenses like traveling to scope out new markets, home office, supplies for the office, legal fees, professional services etc. 

Should I be using personal property bank account or the holding LLC bank account for these generic expenses for most tax benefit and least risk of audit? Or any other option (Not sure if some of these expenses are even allowed to be deducted)

I have a W2 job and I rent my apartment currently. I am also in the highest tax bracket atm. 

Thanks so much. I am always very grateful for all the people helping out. 

@James Wise That would make total sense. But my market is notorious for bad PM companies. Almost more of a headache dealing with them

@Greg Scott Someone is using my name and if they inadvertently say something to the tenant that violates fair housing, I am in trouble. There is nothing in my post that says, we are consciously trying to violate the laws. Just making me question our approach, thats all.

@Steve Morris Thanks. In case of emergency, they text or email and we route it appropriately. Want to be just be careful about outward communication. n communications, there is going to be a person repping the LLC on the lease.

@Patricia Steiner Thank you. This is exactly my question. For example - when tenant says he/she has questions about lease renewal, they will email or text. When we respond even if the property belongs to the LLC, we still have to say who it is repping the LLC because they are actually talking to a person. Would it be OK to give psuedo name there instead of our personal name. Because then I am not concerned with my partners using my name and accidentally saying something back to the tenant.

Hi - We are 3 partners who are buying rentals in LLCs and we also started a property management company(PMC) to self manage these properties. The PMC communicates with tenants, collect rents so on so forth. 

For privacy sake, two of the partners do not want to communicate with tenants with their name and they have been using my name in emails(we use a common email) and on the phone as the rep of the PMC.

Recently read about Fair housing laws and do not feel comfortable them using my name anymore.

Can we create an alias profile like Brandon from PMC, while communicating with tenants on emails and rental messaging apps? 

Or it is not legal to do so. I see many startups using pseudo name in their customer service. 

@John S. did you ever crack a way? i completely empathize with you and looking for person to just open the door for a couple of hours.

@Kim Lisa Taylor Bumping this. Would the manager (or the managing member) be selling securities in this case to the other passive members?

Hi - I invest in small (2-4) multi-families through a LLC. For an in contract deal (~500k),  I want to sign a promissory note with a friend for around $100K to pay part of the initial investment. (Payback details still TBD). He will be fully passive. 

Am I selling a security in this case if it's a loan from a friend? or asked differently, can this put me in trouble with the law?

Hi - I invest in small (2-4) multi-families with a friend through a LLC partnership. He is on a work visa so he can only be a passive member and I am the managing member. We both put 50% each of down-payments + closing costs and both get 50% in equity. Our properties have ranged from $100 - $200k.

Am I violating SEC regulations because he is fully passive and puts in 50% capital?

Also if I add another passive member to the LLC, would the answer to above change?