All Forum Posts by: Account Closed

@Charles Stein moving them higher is not a good option unless you plan to rewire them. Often older plaster houses don’t give you much wire slack in those boxes. The better look and solution is to raise the outlets, however this may require more work and money than you want to get into. I think it’s best to keep putting lipstick on older places because construction on them sucks. I’m finishing a 1940 full remodel now and it’s been endless!

@Wayne Brooks ok, I guess I’m unsure whether there’s a difference in filing as a real estate business, or just a guy who bought houses and made no money in 2019. Thanks for the insight!

Hi Tax pros and experienced tax filers! In 2019 I bought a flip house, and spent all of 2019 and now 2020 working on it and 4 other properties I bought in 2017 and 2018. So 2019 has big a gigantic loss. I'm a contractor, but left CA and my workflow to go full time REI.

My question is on how one might file taxes this year in light of 2020 tax filings. I plan to sell all my properties this year. Should I be self employed as a real estate business owner? I’m having a hard time figuring out how to correctly show my real estate losses in 2019 as far as my expenses go, and then use those losses in 2020 to offset my capital gains. Any suggestions on best ways to file under these circumstances?

Thank you!!

@Rhett Tullis oh wow interesting!

@Jonathan R McLaughlin

Wrong way, right way; it’s all the same. Kudos to all who are trying to figure this code thing out. It’s an ever moving goal post.

@Ray Jhala unless you want to open up a can I would never lean toward permitting on such a small endeavor. The window you mentioned sounds like it’s interior. If it was exterior that would be different. If you just want to open 36-48” or so, all you need is an appropriate header (4x6 most likely). This is easy stuff to an experienced home remodeler or flipper. Those who don’t understand the business and construction side of things will always say permits and safe sounding approaches to construction because it’s all scary stuff, but those who have done this for years do not pull unless they really need to. Seriously, if you’re doing tons of construction or flipping lots of homes, you WILL be encountering plenty of things not built to code. That’s when you learn you either tear your house down and be compliant or you put a stud in, drywall and move on to the next thing.

I noticed Neil Gorsuch just signed a law acknowledging a treaty from the 1800’s which makes almost half of Oklahoma Indian territory. Has anyone become members of the Indian Nation accidentally, or would you lose your property? Sounds a little late to be honoring a treaty long abandon. Any thoughts or people effected?

@Wade Kulesa I think Dave’s main kick is helping people out of bondage and keeping the vulnerable out of financial prison. For those who have effective escape routs aka exit strategies and connections with the wardens and inmates, they can afford to go to prison, in and out. It takes a special person to use mad leverage and come out unscathed. The last 10 we’ve had a ton of those who started investing in 09, and snowballed the heck out of the market. Those who are going to rewrite their story starting now (?) with max lev, probably not so much. Gotta know when to hold em and when to foldem. As most things in life, there’s obviously no one way for all, and some find themselves only at home in prison, but most think prison sucks and would like out. I write this from Riker’s Island.

@Phil Wells it’s already happening heavy. Lockdown cities have lost their appeal. Property values in East Tn small cities have increased more than 10% recently, and are projected to rise another 11% in the next year according to Zillow. Land prices in rural USA are at RECORD highs. I know because I own land in 3 rural type states and am searching for more and selling some now.

Hi @Patrick Froehlich, to me it’s a lifestyle thing. I believe being genuinely into the moving parts of real estate investing such as the construction process, the numbers, marketing, and creativity make the process worth it no matter what. Even if you fall on your face, if you really love it, you’ll get back up and say “man that hurt, doing something I like”. So maybe the big question is whether you like the outset of real estate, if it sounds fun, exciting and worth getting hurt, and rewarded by, because you enjoy the process.