All Forum Posts by: Kevin Zou

I am planning to buy a property here at Madison Wisconsin and is looking for a good handy man that will help me with some work at the property. Please let me know if anyone know someone. Thanks!

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Originally posted by @Kory Reynolds:

It sounds like these are single member LLCs (you) so no federal income tax issues. Check with your local jurisdiction, as some states can charge a real estate transfer tax on the move - most have exceptions for this type of transfer, but worth becoming aware of the rules before executing. There may also be state income tax implications... IE in NH if they are held personally, you do one NH state filing. If they are in LLCs, each LLC potentially has to file a NH business tax return. Also depending on the jurisdiction, there are annual LLC fees, some can be quite pricey and would be better spent on lots of additional insurance.

I didn't dig into your profile to see where you are posting from - perhaps share that piece and folks can help provide an answer on that side of the equation.

Thanks Kory! I am from New York City, New York.

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Hey All,

I want to move 2 of my investment properties under my personal name to a LLC that I own for liability purposes. Is there tax of any sort that I will need to be aware of if I do that? I am in New York City, NY.

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Thanks all for the great advises. I am very glad that I asked this question and is very fortunate that I haven't filed my tax returned yet due to COVID-19. I am planning to file my tax in this coming week. You guys are literally saving me around 20k this year from Uncle Sam!!!

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Originally posted by @Eric James:

Originally posted by @Kevin Zou:

Hey Eric,

I want to take the deduction as well but is curious if that can impact my future mortgage borrowing power. I don't want to impact my borrowing power since I am looking forward to buy another property.

Sure, all deductions you take will decrease your taxable income. Lenders will see what you are actually making on a property, not the "cashflow" estimate that didn't include maintenance, vacancy etc. But I wouldn't recommend you not take legal deductions because you want to increase you income on a loan app.

Thanks Eric! I didn't realize we have to pay recapture when we sell even if we don't depreciate.

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Hey Eric,

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Hey guys,

From what I heard banks normally use your gross income to debt ratio to determine your borrowing power. If I depreciate property value on my tax return to deduct my net income, will that impact my mortgage borrowing power?

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Hey Everyone,

I am just starting out in real estate investing and is planning to put in some offers for different listings simultaneously. I have been reading that you can include exit clauses in your offers so that when more than 1 offer of yours get accepted you will be able to back out without being penalize. What type of exit clauses do you guys typically include in your offer to back out securely?

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All Forum Posts by: Kevin Zou

Kevin Zou has started 4 posts and replied 8 times.

Post: Handy man in Madison Wisconsin

Post: Any tax implication to move my property from personal to my llc?

Post: Any tax implication to move my property from personal to my llc?

Post: Does depreciating house on tax return lower borrowing power?

Post: Does depreciating house on tax return lower borrowing power?

Post: Does depreciating house on tax return lower borrowing power?

Post: Does depreciating house on tax return lower borrowing power?

Post: Exit clauses for offers