All Forum Posts by: Karen Kasjaniuk

My under-10 year old has $500 in her savings account. As a teaching opportunity, we were going to let her 'invest' in our next property purchase. In return, she will receive her allocated portion of net earnings each month that she will be required to put back into her savings account.  Trying to show her that she can earn a lot more by investing her money in real estate instead of a savings account.  I don't want to blindly enter into any tax or legal problems out of ignorance.  Any red flags with this scenario that I should be aware of?  Any insight would be grately appreciated!

@ Diana T

So, in his example, on his Schedule E, would he ultimately report a rental income of zero (Property A = $500 profit vs Property B = $2,300 loss) ... using the loss to the extent that he has a profit?  If so, can the loss be carried forward to a future year?  I know I'm getting into the weeds, but I want to make sure I understand this concept for my own taxes.

I thought Schedule E was required to calculate your net rental income to be included on the income portion of the tax return.  Didn't think it had anything to do with itemizing or standard deductions.  Keeping an eye on this post to make sure I haven't misundertsood this concept.

Thank you all so much.  These are all helpful comments and I appreciate you taking time out of your day to help! 

We are considering purchasing a condo with a $240 monthly HOA fee that covers exterior maintenance, pest control, water, cable and sewer. Usually I pay annual HOA fees, but I've never had one with a hefty monthly fee. Is it common to pass the HOA fee on to the tenant or is that risky? I was just thinking of streamlining the process as much as possible. If I pay (I have no problem with this, just trying to learn best practice) then can I deduct the entire amount on tax return ... even the water, cable, sewer portion??

Vivid Vision, Cameron Herold
The Leader Who Had No Title, Robin Sharma

Frank Chin, thanks so much for sharing this information.  We definitely plan to hold our properties for some time and I can only hope to have as much insight and good fortune as you have. 

I started investing in buy and hold real estate in 2015 and hear that 2008 was a complete disaster and that people lost everything.  I get it for the flipping side and new construction, but can folks with buy and hold properties give examples of how 2008 negatively affected them? Was it difficult to get tenants? And can you also give some tips or share what you have changed in order to be somewhat prepared for another market crash?

Mike - I too am researching this option.  I'd love to hear if you proceeded with this and how it has worked out! 

Thanks for this post!  I just learned about Venmo and am giving it a try.