All Forum Posts by: Jared MontBlanc

Ha!  Thx for the reply Michael, much appreciated 

Thank so much, Dave. That helps

Trying to understand options as it pertains to the sale of a current AirBnB rental. What are the implications of doing a 1031 for an new investment property that eventually doesn’t generate rental income? Is somebody tracking that in some way?

Examples:

1. you buy a house and AirBnB for a year or two, then just move in

2. You buy a house and AirBnB for a year, then only AirBnB part of it only

3. You buy a house and call it a rental property but then just move it

Any guidance based on how we might be able to think about options to use 1031 for a home we can then live in would be appreciated.

Thank BP

Thank you all for your replies, they are most appreciated.  Love the BP community! :)

@Ashish Acharya Appreciate the quick reply. Thx Ashish

@Nicholas Aiola Thx in advance and really appreciate the help. I own 3 STRs in South Lake Tahoe CA. My CPA told me I don’t really need an LLC to realize all the tax benefits of owning real estate, but if I was concerned about liability, I could do it for $1000/yr (CA cost) or just throttle up my umbrella policy for added protection. And that I wouldn’t see greater tax dedications by creating an LLC. So I’d didn’t even though I had all the paperwork ready. As I’m listening to various real estate podcasts, I’m beginning to question whether this is the case. BP friends, can someone smarter than me chime in with their thoughts? Appreciate it. Jared

I own 3 STRs in South Lake Tahoe CA. My CPA told me I don’t really need an LLC to realize all the tax benefits of owning real estate, but if I was concerned about liability, I could do it for $1000/yr (CA cost) or just throttle up my umbrella policy for added protection. And that I wouldn’t see greater tax dedications by creating an LLC. So I’d didn’t even though I had all the paperwork ready. As I’m listening to various real estate podcasts, I’m beginning to question whether this is the case. BP friends, can someone smarter than me chime in with their thoughts? Appreciate it. Jared

BP friends, I‘m looking for some thoughts on potential considerations when evaluating the merits of a single family house that has been designed to rent out 4 units separately. The numbers look good, it a very competitive rental market. It has solar that takes care of most electrical, so the fact it doesn’t have separate meters may not be an issue. It also has a small studio that I thought could be rent free living for someone to look after the property. Anyone have experience doing this and can offer up some advise? This isn’t an official multiplex. What risk does this expose me to, if any? Also, it has a very large set of stairs to get to the front door (85). Should I be thinking about legal risk should a tenant fall? (No snow risk).

Your probably right about staying away from grey... but I need to repay the HELOC I used for the quick buy which is currently 5.375% I'll try and get in touch with the bank you suggested, thx. Any other advice/ideas?

BP friends, I need some advice. I just bought my second vacation rental with Cash after told the day of closing that the HOA said the occupancy rate for the condo plex was >50% rentals, and they couldn't finance using Freddy or Fanny underwriting. Before it was dead, we discussed whether my other house had a lease rental agreement in place, which if so, would allow this condo to be purchased as a second home rather than investment. Issue being, it's a vaca rental without a lease and doesn't qualify as an "investment" property per requirements. I want to get financing on this and am talking with a local lender now, but the question just came up again during underwriters eval. I'm thinking about creating a lease to my house manager (cleaner) to fulfill this requirement since in essence, she is using the house weekly. This is obviously a bit grey and wanted to ask advice of anyone here on what I should do. If I can't, seems I can not repay the cash loan and will need to open a Heloc, which is don't really want to do. Appreciate the advice, Jared