All Forum Posts by: Jash Sayani

Another question: I read statements from my property manager and he has listed "Deposit" as income, but I did not get the refundable deposit amount. The manager will hold it in non-interest bearing escrow account. This is included on my 1099. Since I dont have the money, how do I deduct it from my income in Schedule E?

Hello,

This is my first time filing a Schedule E (Real Estate income)  and had some basic questions.

1. I have a Townhome, what property type is this (1.b. on form)? SFR / MFR?

2. My property manager gave me a 1099-MISC with all rental income (doesn't exclude commission, placement fee, etc). I can put the Management fees in Line 11, but should I also put the 50% placement fee on Line 11 (management fee) or is this Commission Line 8?

3. After I bought the property, I paid for electrical work, new dishwasher, new siding, new roof etc. Should this be deducted in 2017 or amortized over X years?

4. I want to claim depreciation (I understand if I sell my property for more money, there will be a tax-recapture), using MACRS (Modified Accelerated Cost Recovery System) which is Home Value - Land Value / 27.5 years. Should this amount go under Line 18?

5. I flew to the property to check it out and stayed in a hotel, etc for a few days. Can / Should I deduct this?

Thanks.

I recommend Salesforce. Best CRM solution in my opinion. 

Looks really good. I use PropertyWare.

The iOS app for BP is not very good in terms of UI. I deleted it because its not user-friendly and interface is tacky. They need an all-new clean app that easy to use.

If you have a higher investment amount, you could apply for EB5 visa for 2 years and get a green card after that.

I believe they are comps from similar properties nearby that were sold. Pretty similar to what most appraisers look at.

There are 2 ways to invest.

1. High cap rate areas (money comes from rent income)

2. Low cap rate areas (tremendous appreciation, lower profit from rent)

Areas like Silicon Valley have low cap rates but prices have doubled in last 5 years, where as areas like Florida have stable value with high Rent-to-Value.

I recommend markets like Florida (look at Jacksonville) because of Rent-to-Value.

 Thanks, I requested a quote.

@Timothy W. Thanks!