All Forum Posts by: Kev Li

Hello, I have a rental property that is 100% paid off with no outstanding mortgage, and the property located in a northeast state. I am currently living in the southwest. I am hoping to pull pull out the cash from the home to make a large purchase. but i've run into several issues when I apply for HELOC

1. the home is a a rental and the banks/credit unions don't allow HELOCS on rental properties

2. as mentioned the property is in the Northwest and I live in the southwest. So when I go to a credit union local to me, they dont allow me to do a HELOC because located in different states.

so may I please ask if there are any suggestions on what is the best way to pull money out in this situation from the rental home? Thank you.

Thanks for the reply. I am not looking to do a segregation study/depreciated acceleration.  Just file the Schedule E with 39 year SL dep - want to file normally and have the tax losses offset W2 income.  But on the softwares I cant get it to where the tax losses offset the W2.

Hello, a lot has been written about the "STR Loophole". My situation is that my STR averages less than 7 days, I have material non-passive participation, so that I qualify for the "loophole". I do not provide substantial services. So I should file it under the Schedule E.

But my question is, how do I actually file it on the schedule E? I've been using freetaxusa and turbotax and neither software has the option on t he Schedule to file it in a way that enacts the STR Loophole and allows the loss to be offset against my W2 income. So wondering if anyone has been able to successfully file it in Freetaxusa/Turbotax, or is this something that cant be done through a software and we need specialized CPA to file it for us? Thanks!

i work for a large engineering firm that develops/designs/builds commercial real estate buildings.  I'm responsbile for designing the plumbing/mechanical portions of these real estate projects.

Hello, I am wondering if any real estate attorneys can please shed light on whether my current job status would qualify me as a "real estate professional".

Specifically, my full-time job in which I work more than 750 hours a year is as a mechanical engineer for a engineering consulting company. I am responsible for designing HVAC/plumbing systems for commercial buildings. I often do site visits to the property and then design/draw the hvac/plumbing systems for the building.

From what I gather below the following would all fall under "real property trades":

"The statute lists 11 types of real property trades or businesses: real property development, redevelopment, construction, reconstruction, acquisition, conversion, rental, operation, "

I believe that my line of work can be classified under "real property development", "construction", "conversion". But I am not a lawyer so not sure if I am understanding it correctly. May I please get some confirmation from a real estate attorney on whether my full-time job qualifies under the IRA's legal definition of "real property trades". Thanks in advance.