All Forum Posts by: Account Closed

Good Morning BP,

My business partner and I are in the process of purchasing a property. We are looking for advice on the best way to manage the shared down payment, for tax purposes. I'll try to outline the details as basically as possible:

- The loan will be in Partner A's name only, because it's a "2nd home loan" requiring 10% down. This preserves eligibility for Partner B to do the same thing with the next property.

- A multimember LLC has been formed, along with a shared bank account. This LLC specifies joint ownership of assets etc. When possible, the property will be transferred to the LLC.

- Partner A will have to wire the full down payment amount (say $40k even to make it easy) for closing. Partner B needs to send $20k to Partner A for his portion.

What is the best way for this transfer to be completed? Partner B deposit $20k into the shared business account to be withdrawn by Partner A? Anybody with experience in this, advice would be greatly appreciated!  Our goal is to insure that both partners can take advantage of future tax advantages such as mortgage interest, depreciation, etc and also avoid potential gift tax potential ramifications.

Thank you!

I'm looking for a little bit of help or guidance on forming a real estate general partnership. It would be for a shared rental (could grow to more) between 2 parties. It doesn't seem like a necessary scenario for an LLC, as there isn't really anything to protect and the new LLC wouldn't be able to qualify for the same loan, but I want to make sure the partnership is setup so that both parties can prove shared ownership for tax purposes etc. (The loan will likely just be in one person's name).

Does anybody out there have any experience with this kind of thing, or any tips? Thank you very much!

Thank you for your replies everyone..  I have much to learn, but I see this is not an easy answer to find. Finding the line between a top firm ($$$) and somebody with low expertise is a difficult task for newer investors, without significant early cash flow. Don't mind the work though. 

Thank you all for your replies. I understand what you're saying.. and I know it could be a wide range..  but I have now talked with 2 firms, and both quoted me a flat rate for each of the 3 above categories I listed - and that was with just quick surface level knowledge of my situation. One of them said they use the same rate/range for all clients.

In this case, the restaurant meal is "all CPA services", and the burger is the 3 things I've outlined, with a real estate investment focus.

Hello! Hopefully this post falls within the guidelines of the forums.. I am just trying to get a feel for an average price to be expected for:

1) Initial tax evaluation, plan creation etc  (flat rate per year)
2) Tax advisement for each following year
3) Fees for actual tax return filing

I am not asking for specific CPA recommendations, or anything of that nature.. just trying to figure out what range I should be expecting for somebody who specializes in real estate. Thank you!