All Forum Posts by: Jim Kaufman

I am looking for some resources to do research on tax planning for a real estate investor. I have had success in building a rental portfolio of SFH's and I am now nearing retirement age. Real estate holdings are a substantial portion of my retirement portfolio and I will eventually need to sell properties (or increase debt) to enjoy the benefits of this portfolio. Based on all of the variables involved; roths, roth conversions, capital gains, depreciation recapture, other income sources, SS, etc, each situation is unique and I assume we will need to create multiple scenarios. Finding some examples of high net worth individuals rolling out of a rental portfolio, or a couple ideal examples would be very helpful. I did see one example here on Bigger Pockets of doing a 1031 conversion to a vacation property which is a great example. Any other examples, information or resources to do research would be greatly appreciated. Thanks! Jim

I agree with the positive comments above. It was a great session and well worth the time and minimal charge. Joe speaks from the heart and is open about his business which is always appreciated. As real estate investors we are constantly asked to open our wallets to the next "best" thing out there. There was none of that from Joe - Just a willingness to share. Thanks Joe.

Thanks Judd. I did something similar on a prior house. I will take a look at this as soon as I figure out how to get your attached picture to show up on my computer. One of my softwares must not be updated. Any chance of emailing it to me? Jim at moonproperties dot net.

Thanks again for the feedback. Jim

Happy New Year everyone. I have about to close on a flip and have a kitchen design question. There is a load bearing wall between the kitchen and the dining room. Due to a heat duct that runs floor to ceiling in the wall, I plan on extending the doorway opening from three feet to six feet and leaving the duct work in place to save time and money. I like adding an inexpensive island if possible. I was playing with the idea of using the three feet we are gaining to possibly add a three foot countertop bar stool height top of some sort but have not seen any designs that look good and make sense. I can leave as is but figured I would throw this out there and see if anyone has an idea or a picture of something that would make sense in this area (or vote to just leave as is). This is a $180k 1500 sf 4/2.5 house in PA. Thanks for any help. Jim 

Thanks Dion and Rick.

I appreciate you both taking the time to respond. The house went to foreclosure because no heirs could be found. The bank's lawyers performed proper notification, verified by my title company. So.... the chances of finding a heir from posting an advertisement should be pretty close to zero. Based on the cost of posting, I will properly advertise. Good practice for the next one. Please let me know if you disagree. Thanks for the input. Jim

Hello everyone

I am not sure what the laws are so I wanted to post this. I have personal property left in a property just purchased at a PA sheriff sale. The owner passed away with no heirs. I am having the title company double check on proper serving but I am assuming I am ok in giving this away to VA, goodwill, etc. It includes couches, beds, a little clothing, but also a large file cabinet full of documents (that may need properly disposed of, I have not looked at them yet).

Can anyone explain the rules on personal property in PA? I did see on another post of people finding relatives of those involved and giving them the property, and that makes sense. I have also seen the bank putting items in storage but am not sure how long they do that and if that is required by law. Any help is greatly appreciated.

Thanks, Jim

Great posts. Thanks everyone.

Let me know what you guys think of this

Option 1 - Assuming the metal boxes are not grounded back to the box, have laborers remove the baseboards (they need replaced anyway), remove one foot of plaster from the bottom up, drill holes, prep and maybe run the wire, let the electrician do the final hookups.

Option 2 - Add GFCI on the ungrounded plugs (mostly in the bedrooms), which at $12 each seems a lot cheaper. Cheaper yet, just install a GFCI in the first plug in the series. This is ungrounded wire but still newer than knob and tube. Can I assume this is safe with the GFCI?

Option 3 - Close my eyes to the two prongs and flip the house.....

Other random electrical questions - Do we care about the light fixtures that are ungrounded? Do we try to install interconnected wired smoke detectors while we are doing the rehab?

Karin - Bill was right on in his pricing. The cost difference from 150 to a 200 amp was $100 but your electrician's pricing looks like the cost of the entire job. I am not sure if J. Scott's cost book covers this exact pricing but I would highly suggest getting that book if you do not have it. It is great for those of us still learning the pricing side :-) Jim.

Thanks for the reply Jon. I will already be pulling permits and having inspections. I am working on the evaluation of the related competition and also on my price estimates for doing it both ways. Jim

I am putting together my SOW for my first flip and want to upgrade the electric on the two story to grounded. Why? I want to put out a good product (that sells easy!) and it makes sense to me to upgrade the electric along with the floors, kitchens and baths. Stage one is upgrading from fuses to a 200 amp service. When I mentioned upgrading the entire house, my electrician rolled his eyes and wanted to know why I would do that if it was a flip.

The original 1930 wires may have metal in the wires, I will have to check. I was thinking of using cheap labor to cut out strips in the walls to run new wires, possibly making runs to the attic and distribute to the upstairs.

The entire neighborhood is the same age so I assume most are unimproved. I do not know if my potential buyers will see this as a problem. Any input is appreciated. Thanks, Jim

I looked at Ikea and they have a great armoire that is inexpensive, $156, and will satisfy the requirements, perceived or otherwise. That was a great idea explaining that this can easily be removed by the new owner vs my original thought of building in a closet or busting out a wall. This is a much better option as a closet is not necessary for a baby's room, office, etc. Plus, when I stage the house for sale, it will blend right in. :-) Thanks, Jim