All Forum Posts by: Gerich Fellermann

Thank you all!

@Dave Foster - replied to your PM

@Scott Jensen - good points on taxes although I am hoping I can keep this bird in flight for awhile!

Thanks (kinda!) @Dave Foster .  I have read Ankit Duggal's article (https://www.biggerpockets.com/blog/2012-12-31-private-money-lenders) but outside of those avenues, are there any golden tips to finding a PML?

Alternatively, and again I believe I know the answer here, but is there any kind of grey area within the 1031 parameters that would allow for REIT type fund options to defer tax?

G

Hello all,

I'm wondering whether my situation is outside of the realm of financing possibilities, even creative ones.....

My wife has had a small rental in NJ for 10+ years. She has refinanced so we are looking at a tax hit on a small profit. I'd like to 1031 into a rental closer to us in Oregon but am also 6m into starting my own business so do not have W2 earnings or 2y worth of P&L for a new mortgage. Last 2y taxes are solid. (AGI ~mid $100's), this year projected lower as business ramps up. My wife works but her income alone would likely not qualify (<$50k). Our credit is very good. Also, not sure if applicable but we have a rental in SC that is rented but has a HELOC on it for some renovations so DTI is high now.

Numbers:  NJ home sale price = $156,000  - Profit = $45,000 - Projected tax = $25k+  

Any thoughts?   Pretty sure I'm SOL on this due to the new business but would love to hear there's an option.

Thanks all,

G

Thank you all for the thoughts - much appreciated.

We would continue to live in Portland so while moving to WA to avoid income tax is attractive, it is not happening at least until my daughter is through school.

Hood River is a great town but seems to be further along the development curve - I'd love to find a bit more of a sleeper and have also thought about Salem.  

Thanks again all.

Hello all,

We live in Portland OR and are selling a single-family property on the East Coast.  We would like to 1031 the proceeds into a new property within driving distance of Portland and would like to slowly continue to cluster investments in whichever community we choose.

Questions:

Are there clear advantages to buying in Washington state over Oregon or viceversa?   Idaho is also in play as a landlord friendly state but it doesn't quite fit the driveable criteria.

Are there resources that are helpful for finding advantageous markets based on landlord/tenant laws, economic growth, tax advantages in the state or other indicators?

Thanks all,

G

Great points @Dave Foster.  I appreciate your insights.

Thank you @Brian Sparr & @Chris Mason - very helpful & much appreciated.

Hello all,

We're selling a small single family rental in NJ and are hoping to use the 1031 exchange parameters to roll the gains into another property closer to us.

2 questions:

1)do we have to state our intent to do a 1031 when we accept the offer in our initial sales contract?  Or is it enough to work out the QI and details before closing?

2) Our buyer is using an FHA loan & the realtor said something about potentially not being able to do a 1031 on our end because the buyer has an FHA loan. I have not heard/read anything about this and neither has my accountant who is usually on top of things. Is there anything to this?

Thank you for the insight - we have not used the 1031 before so feeling it out for the first time on this deal.

Best,

Gerich

Thank you all for the insight!   Mel & Brad, I'd like to connect further - will PM.

Hello all,

I've got a SFH in North Charleston, SC that I'm thinking about transitioning from a long-term tenancy to a STR situation. I do not live locally and do not have the bandwidth to manage communications or day-to-day issues.

Any recommendations for a good STR management company or co-hosting individuals in the Charleston / North Charleston area?

Thank you!