All Forum Posts by: Account Closed

@Bill Brandt that’s a good question on what amount can be exchanged with your thought exercise here. From what I have read it would be $400,00 of the gain can be rolled over into the next property after exempting $500,000 with section 121. My question is does the 1031 property have to be worth the same or more than 1.5 million. If it is in fact 1.5 or more. Let’s say 20% down payment on a 1.5 is $300,000 I pay from the 500,00 profit minus state income tax. Plus the 400,000 rollover, I would need a loan for $800,000. This is where I need to do more calculations on what would the appropriate cash flow needed to be to cover the mortgage and expenses. I have read 1% rules, cash flow of 8-10%, cash on cash. What calculations do I run usually? I’m sure this is in some book by bigger pockets.

@Bill Brandt thanks for this. I didn’t realize I would lose the section 121 but I’ve lived here coming onto 7 years. It’s appreciated. So if I were to turn it into a rental, take all the tax write offs and then sell in 2 years. I could avoid capital gains on 500k (I’m married) and the remainder I can 1031.

Hello, trying to figure out some plans to move abroad and rent out my primary home. I have high equity on it and almost free and clear. I’m also in between jobs, partner is self employed but work has been intermittent over the last 3 years. I currently have cash but only enough to buy a home abroad and it leaves me little to work with to move and settle in and get the home rented. I want to keep my home as an investment property and leverage it. I considered a Heloc but the no job situation will mean I don’t qualify. Is a hard money loan or one of those real estate investment Heloc alternatives such as point or hometap a good way to get equity out now? When the property is cash flowing for Let’s say a year or two I can refinance, or sell and pay back the loan plus their share of the property value. I would do refinance or do 1031 to a better property. Is something like hometap a better option than a Heloc which would be variable interest. Also by renting out my home is it considered a commercial property then? Open to other strategies here. To achieve my goals

As much as I want it outside I simply can't no alley and no back lot. Super dense part of downtown. It's a frustrating situation

Homeless and druggies are attracted simply because we have a heroin problem in the city. It's near a highway and a soup kitchen. There are many areas to hide inside weather it be stairwells and hallways. There is some traffic but many people will not engage with them. It is located in a heavily ethnic part of town and people simply don't bother if it isn't their business. Some arlo cameras have thwarted them but I will need to invest in a higher grade CCTV. It's pretty expensive and will need monitoring. Hiring a security guard or doorman might be necessary but the cost has to trickle down to the tenants. Building is going through a major overhaul. I understand the retail part but if we are going to invest in more security then it has to be reflected in the rent which is under market

I run a mix use building with residential on upper floors, retail stores on 2nd and offices on 3rd and 4th. Currently the building is open to the public on weekdays and Locked at night and on weekends. I am planning to lock it every day. We have issues of homeless and drug users wandering into the building constantly. They do drugs, lock themselves in the bathroom and do various things in the stairwell. The building lacks CCTV cameras and we don't have a doorman. I'm getting major pushback to lock doors everyday because the businesses fear customers will get deterred from a locked door. I plan to put up clear signage, directories and instructions to operate the intercom. But seriously I'm not convinced people can be that lazy or lack common sense to buzz the business to let them in. Anyone else have experience in this and how to appease these people. As if security and safety of themselves and customers are more paramount then affecting foot traffic. Thank You

I've acquired an old family building. Mix use. I have a major issue with trash collection. There is no designated trash room. Large barrels currently sit in the elevator landing. Unsitely and smelly. I can't make a room in the basement as the elevator only goes to the ground floor. So it may seem that I have to convert a storage closet on the commercial office floors as the "trash" room. But I fear it will just be smelly and dirty with all the household waste and office waste. The food and liquids really are a hassle that I want to contain.

Hello All, Anyone have experience in calculating an appropriate TIA amount. Tenant wants to negotiate an amount for a build out, 10 yr lease, no rent until constructing is complete, will handle all architects,contractors, permits. I suppose the logical things to ask for is scope of work, level of finish, estimated cost of construction, time line of construction. Much appreciated Justin

I do rentapplication.net Money goes directly to credit check, background check and eviction history agencies. I do not pocket any money from it.

Great job. You get your money's worth. Outside Boston suburbs you'd be paying 350-500k for it as is. It's ridiculously overpriced here.