All Forum Posts by: Jenny Zhang

Hi Team, 

I am currently seeking a good property management team in Philly metro:  a small apartment and two townhouses in Parkesburg PA. The current property management team is not working out.  I do have tenants that are in Sec 8 and other housing assistance program such as ERAP, such knowledge is needed. 

Really appreciated your recommendation. 

Jenny

 I am debating on whether I should allow pet.  I had a horrible experience during an inspection. One of the tenant has three mid-large size dogs all locked in his room. I would never forgot that smell when that door opened...  I turned around and kept walking...   we estimated 6 figure cost to fix that property.  I just withdrawal my offer.  It sounds like you have a pretty good experience.  Do you mind share the pet policy and also how you do screening properly?  A lot of families have pets.  Thanks. 

They are investing aiming at appreciation not cash flow.   There are seasoned investors who have the money to bleed cash each month just hold the property for appreciation gains. Also for big investors, they can use the loss generated in this property to off set the income/gains generated from other properties. So those losses would be tax beneficial to some investors. 

I want also make a point. IRS will likely to be on your return if you have a large W-2 but with rental (STR) to offset a big part of it. I would suggest to be very careful and perfect your documentation on everything. I know there are CPAs out there selling this "strategy", all I want to remind my fellow here is that, be cautious how you handle it. I have been in tax for 17 years, once IRS on you, they normally stay watching for at least 3 years. Good luck!

I am in the same situation. However, with how the market is going and the expected not-so-great economic condition, taking the risk in STR in attempt to save taxes can be damaging. I am a CPA specialize in taxation. I won't do it in this economic condition unless you are fully confident that STR you are acquiring is going to be an income producing property. It is not worth it to loss the real cash to save tax. I haven't found one STR that give me that confidence yet.