All Forum Posts by: Jared Hauf

@Cedric Van Duyn

Any update how this all has progressed Cedric? I'd be interested to see if things are turning around for you. Hope all is well.

I have one rental property that is under my personal name. I'd like to buy a second and put it under a LLC. My question is, since I've never ran a business under a company name, how do the taxes work? Will my LLC pay taxes on the income received from rent and I pay taxes on income received from the company in affect being double taxed? If so, is there a way to avoid this?

Thanks.

@Michael Hawrylak

By own your home do you mean it is paid off? Or if you have any significant equity in it, you could maybe cash out refi it or maybe even a HELOC to get some money for a down payment. I don't know your numbers or market but that's where I would start.

I found a house for sale for a little under $100k. The appraised value is $120k. Similar more updated homes in the area have sold for $160-180k. Needs some renovations (approx 25k) to bring it up to par with the more expensive sold listings. Problem is, the neighbor has a bit of a junkyard going on in his backyard and front yard looks neglected, and some odd exterior work. I was thinking that if I buy this house that I would screen the entire neighbors yard using an Arborvitae type shrub so there is a natural wall between the properties and the tenant won't have to see his mess. The neighbor is also why I suspect this house is still for sale. The neighbor looks older so they may not be there for a long time. How big of a deal is it to have a junkyard neighbor next door to tenants do you think and how much will my rental rates get haircuts due to this?

How long do you guys typically look to break Even? I have to put 20% down at a minimum on an investment property with my lender so it seems like 5 years or so is break even on most numbers I've ran. Thanks for the replies!

I don't want to hijack this thread, but could I sell one property and say receive 100k gains, and 1031 exchange it into 5 properties for 100k sales price with 20% down on each?

and the section 8 tenant is already in place by the seller. I drove by the property already and it appears (from the exterior) that they keep up with the yard, the house looks nice, area is well kept and neighbors are well kept. I wanted to see if it makes financial sense before going to see the interior, for all I know the interior is a disaster, but judging from the exterior, they seem clean

Monthly cash flow after all expenses should come out to approximatley $351

Wow, I organized all that and when I posted it it got all jumbled up. Now it just looks confusing.

Good Morning All, Please help me analyze the following deal. Everything I see checks out in it but just wanted a double check by BP. This will be my first (intentional) rental, my other was my previous residence. 3bd, 2bath, 960sqft with detached garage $109k list on market 100+ days. Section 8 tenant placed with $15,948 cash flow. Location: Surrounding Baltimore, MD area Total Taxes: $1,728 Tax Year: 2016 Yr Assessed: 2017 Land: $42,000 Improvements: $60,900 Total Tax Assessment: $102,900 20% down: $21,800 Closing Costs ~ $6500 Total: $28,300 Monthly Numbers: Annual Numbers: Income:$1,328.00. $15,936.00 Mortgage Pay:$481.52. $5,778.26 Vacancy (5%):$66.40. $796.80 Management Fee:$118.19. $1,418.30 Property Tax:$144.00. $1,728.00 Total Insurance:$66.67. $800.00 Maintenance Cost:$83.33. $1,000.00 Cash Flow: $351.22. $4,214.64 Net Operating Income:$838.65. $10,063.81 Does this seem right and like a decent deal? Thank you all for your time!