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All Forum Posts by: JD Martin

JD Martin has started 62 posts and replied 9331 times.

Post: Florida Land investors and Builders, lets connect!

JD Martin
ModeratorPosted
  • Rock Star Extraordinaire
  • Northeast, TN
  • Posts 9,828
  • Votes 15,794
Quote from @Justin Stamper:
mannnnnnnnnnnn i wish i could just hang with marley too. She passed away a few months ago after a failed cancer surgery :(

 Man do I hate to hear that - sorry for you man, Marley was a good dog. In fact, no offense to Ashley or Duke or Keith (man is he a bad actor with his dumpster falls!) but Marley was my favorite star of the show. I loved it when she found an alligator or a sprinkler. I hope you get another good one like Marley. And maybe next time I'm down there we can hang and just BS some RE at that Oyster place @Jay Hinrichs mentioned. 

Post: Locating Landlord--Is this CRAZY to far?

JD Martin
ModeratorPosted
  • Rock Star Extraordinaire
  • Northeast, TN
  • Posts 9,828
  • Votes 15,794

One other possibility: the property has already been rented, and they just haven't bothered to take the ad down yet. I see this all the time in my area. Or the owner is incapacitated in some fashion. Maybe they're on vacation. 

We respond to inquiries, but if someone did the things you suggested to try to track me down instead of following the advertised protocol I would disqualify you as crazy or a potential stalker or just high needs or high maintenance. 

Post: EXPLAINED: How to find a CPA focused on real estate

JD Martin
ModeratorPosted
  • Rock Star Extraordinaire
  • Northeast, TN
  • Posts 9,828
  • Votes 15,794
Quote from @Benjamin Weinhart:

Speaking to your item #6, I was actually told by the staff here over the phone maybe 5-6 months ago that DMing someone is fine so long as it's not a copy/paste ad and is specific to the individual. I was a bit surprised when I heard that, and someone please feel free to correct me if I'm wrong.

Overall, nicely presented, as always! ;)

Only thing to note for anyone who might be reading this later is that you might want a CPA/EA specifically since they're allowed to talk to the IRS on your behalf, whereas the others cannot. There's a few other exceptions such as a tax lawyer, but I find that a lot of folks find comfort in just having me respond to any notices that they might get. This may be a little overkill for some people, however, as many tax accountants will work great for most folks.

I especially agree with #3 as well since a CPA who is an investor might only have one or two long-term rental properties that they've shopped out to a property manager. The majority of our expertise comes from experience and having a specific book of real-estate clients who are involved in a wide variety of activities. For example, when I was in my large public accounting firm days, I worked on a tax return for a client who had $500m+ net revenue over hundreds/thousands of locations across 25+ states. I'm not saying this will never happen to me, but I'd probably be vastly more likely to win the lottery before that happened haha.

I can attest to #8 as well. I'm finishing up the last of my engagement letters for next year and I know many of us will have sporadic availability for tax planning after this week due to the holidays.


 You cannot blindly message individuals on BP advertising services. If discussing with someone in a forum and you all take it to private messages, that's a different story. If someone asks for a direct message (they're not supposed to) for something specific you can respond to that, but those threads are usually in the classifieds when we (moderators) can catch them all. 

Post: Lease ended. Tenant stays for two more weeks. How much rent to charge?

JD Martin
ModeratorPosted
  • Rock Star Extraordinaire
  • Northeast, TN
  • Posts 9,828
  • Votes 15,794
Quote from @Leeling Chew:

Hi all,
My tenant's lease expires on December 31, 2024, and converts to a month-to-month tenancy with a $150 rent increase. She informed me on December 1st that she was expecting a job offer requiring a January move-out, which she received on December 12th. Should I charge her a prorated amount of the original rent or the increased month-to-month rent for January?

Leeling


 You should charge her for one additional month of rent. 

Post: To Sell Or Not To Sell

JD Martin
ModeratorPosted
  • Rock Star Extraordinaire
  • Northeast, TN
  • Posts 9,828
  • Votes 15,794
Quote from @Maegan Quaife:

I am not sure where to post this question, this is my first time on the BiggerPockets Forum. I am currently a resident in LA county however I own a rental property in Burien, WA. It is a duplex totaling 4 bds and 2.5 baths with modern updates, in great condition. I lived in this property for two years and have been renting it out and managing it remotely for the past 3+ years. I am thinking about selling the property as it is becoming more difficult for me to manage from a distance. I am just worried this might be a mistake as it as a high cash flowing property and my mortgage rate is a low 3.125%. However I have had to replace some major appliances recently which had put my in the defecate and added to my motivation to sell (Hot water heater, two refrigerates and a washer/dryer). I was hopping to get some feedback. I will list some specific questions bellow.

- If I use a 1031 Exchange, does the next property also have to be a duplex?
- If I did buy a duplex here in CA could I live in one side while renting out the other?
- Do I qualify for for a section 121 exclusion sense I lived on the property for the first 2 years of ownership?
(I also had to come to CA for health reasons, so I am not sure if that is an exception)
- If I use any of the above, can I use a portion of the money to pay off personal debt?
-

Lastly I would also consider recommendations for a company who offers

HELOCS (NOT cash out refi) for rental properties. Apparently this is not

offered by most major banks.

Thank you in advance for any and all feedback.


 It can't be too strong cash flow if replacing some appliances put you into negative cash flow (I assume you meant deficit, and truly didn't mean defecate). Unfortunately it sounds like you've already missed your capital gains exclusion if you've been renting it out for more than 3 years, as it's 2 of the past 5 years. 

If you don't want the property any more a 1031 is probably your best bet, unless it's got a huge capital gains capture in which case you could just take your tax lumps and collect your funds. 

Post: Airbnb Stats: Valuable or Worthless?

JD Martin
ModeratorPosted
  • Rock Star Extraordinaire
  • Northeast, TN
  • Posts 9,828
  • Votes 15,794

I've had no luck with their stats or with any of the stuff VRBO posts up there. As best as I can tell on both sites, the algorithm looks something like this:

Cheapest price>least restrictions (cancellation, # of days minimum, etc)>Premier/Super host>Review Scores>Most discounts (weekly, last minute, etc)>Regular revisions

Post: Mike's Deal of the Day - December 15th

JD Martin
ModeratorPosted
  • Rock Star Extraordinaire
  • Northeast, TN
  • Posts 9,828
  • Votes 15,794

Mike's Deal of the Day is one of my favorite threads, even though I've yet to take advantage of any of them. I just dig that he finds such good prices on here for the membership. We need to figure out how to clone this guy.

Post: advice on landlord threating to void clause in lease and raising rent

JD Martin
ModeratorPosted
  • Rock Star Extraordinaire
  • Northeast, TN
  • Posts 9,828
  • Votes 15,794
Quote from @Sonia Vanegas:

thank you for your responses. I do have the text message conversation where the landlord agreed to the reduction in exchange of the two bedrooms. The landlord was originally trying to charge us for them to hire someone to come and paint the rooms before moving into the premises, we didnt agree to that. On the lease agreement the rental value shows the $3100. If we dont come to an agreement and they void the clause can they enforce us to pay the $3200 when our rent states our monthly payment is $3100.

 Yes. Enactment of the clause depends upon the lessor (landlord) agreeing to the colors and rooms to be painted. If you say 2 rooms and they say 5 rooms there's no agreement. That you already painted two rooms is immaterial, unless you have it somewhere in writing that 2 rooms is what they agreed to. In your texts it should say something along the lines of "Per clause X we are proposing to paint living room and master bedroom and no others". If they agreed to that, then the clause appears to be fulfilled assuming the lessor approved the quality of work.

The entire clause is kind of sorry in the way it's put together and reeks of amateurish property management by an owner. I don't let tenants paint anything because they largely do a crappy job, and I don't negotiate anything on rent. I would have paid a painter $1200 to repaint the two rooms and had you pay $3200 before I would have done anything like this. 

From your angle, I would find out what other rooms they thought you were painting and what color, because there would have had to be agreement on that before you started painting. 

Post: Real Estate Syndications: Who's Taken the Leap and How Did It Pay Off?

JD Martin
ModeratorPosted
  • Rock Star Extraordinaire
  • Northeast, TN
  • Posts 9,828
  • Votes 15,794
Quote from @Nathan Gesner:
Quote from @Jay Hinrichs:

I invested in a winery/wedding venue at the end of 2023 because I needed a quick tax strategy and couldn't find a property fast enough. 



 Are you getting married or do you like wine? Or maybe both? 

Post: STR soap and toilet paper

JD Martin
ModeratorPosted
  • Rock Star Extraordinaire
  • Northeast, TN
  • Posts 9,828
  • Votes 15,794
Quote from @Nathan Gesner:
Quote from @Marc Shin:

Hello. For STR's, is it necessary to get brand name hand soap, shampoos, and toilet paper? Or can I get the Costco brand items??


 I don't care much about soap and shampoo, but quality TP is something they will definitely notice.


 Bwahaha I think the shampoo comment goes without saying ðŸ¤ª