All Forum Posts by: Joseph Leibovitch

Correct!

Hey Duncan,

Death is a touchy subject. I will tell you that I purchased my personal home from a person who lost their mother. Lets connect and I can fill you in. I got this tip from a REI heavy hitter.

Hi, I am moving my focus from MD to FL. Can you elaborate as to why you chose those cities? 

Agree with Andrew here. If you are looking for off market deals then you may need to connect to wholesalers in your desired area. 

What kind of policies are you looking to set in place?

Hey Nick, 

Thanks for posting the question. Honestly I am not an analyst to say whether he is right or wrong. All I know is whether he is right or wrong the best investment is RE. All a crash means is holding an asset until it appreciates to where you want it to be. Looking back at the last crash, did the rents crash? I don't think so. So you can still rent out your rental units and wait to cash out when the values go back up. RE is not a short term game so if you are in it for the 5-10 year mark a crash should not affect you. 

Now if you are a flipper that may be a different story. Getting stuck with a flip you cannot sell at the price point you need can be challenging. Having multiple exit strategies is key. What are your thought? 

Yeah sorry if I was not clear 

Hey David,

The way it was explained to me was when considering capital gains tax you need to figure out what your cost basis for the property was. This consists of the purchase price plus whatever you invest into that property over the years(capital improvements). Taking a cash out is a liability (bigger loan) that will not reduce the amount of gains you had on the property. You will not need to pay taxes on the cash out until you sell and figure out your capital gains. I hope that makes sense. did you hear something different? 

Hi Nathan,
I was just considering the same scenario yesterday. I was on a call with my accountant and asked him about it. It seems to be that you will pay gains tax on the cash-out. Obviously, you should seek professional advice to be for certain. But don't let that stop you money in you hands not that can help you grow your assets is well worth it. 

Thanks Joe