All Forum Posts by: Larry Spradling

 I'm in Cincinnati.  The property is located in Chicago.

 I'm not sure.  I live in Cincinnati and it's located in the south side of Chicago.

 No.  I live in Cincinnati and the property is in the south side of Chicago.

 It's in the south side of Chicago.

 Yes, I do have a balloon payment coming up in three years.

No I didn't it. Everything runs through my IRA custodian. The rent check goes straight into my IRA account, so I'm completely hands off. I worked directly with Growth Equity Group, but I would assume the loan approval was contingent on an appraisal. I searched for threads on Growth Equity Group in the forums of Bigger Pockets and found that they are known for selling properties well above market value. Not sure how they got away with it. They are no longer in business.

Two years ago, I was brand new to real estate and transferred my IRA to a self-directed IRA. I was introduced to a company called Growth Equity Group that specialized in turnkey rentals for folks like me who had IRA funds to invest. I thought I knew enough to move forward, but clearly didn't ask enough questions or exercise enough caution. I received a letter last month from the mortgage company stating that my loan was going to go into default if I didn't make the last 4 payments. Turns out that the tenant wasn't paying rent and the property manager didn't bother to let me know what was going on. I got that straightened out and then started digging more into the property. After running the numbers, my monthly cashflow is NEGATIVE 22.00 a month. I talked to the property manager about selling the property so they sent me a market analysis that shows the average comp is $40,000 to $50,000. I paid $100,900 for this home two years ago. I owe $62,000 on it. This is so upside down that I don't know what to do. Would greatly appreciate some advice. What I don't need is a lecture. This is my fault as I knew just enough to be dangerous and now I'm paying for it. At this point, negative $22.00 a month seems less costly than taking a multi-thousand dollar hit by selling it for signficanly less than what I bought it for. Am I right in this thinking? Are there other options I should consider?

I'm looking for a realtor in Park Forest, IL to help me sell a rental property.  Please let me know if you have any recommendations.

The 1099 is gross.  That's part of my confusion.  I would have expected the 1099 to be only what was paid out to me after expenses.  How do I account for the expenses in Turbo Tax?

2018 was my first year of owning properties.  I bought two turnkey properties and received a 1099 for the rental income they generated.  I entered this info into Turbo Tax.  I was expecting some tax benefits.  Am I missing something or doing something wrong?  Would appreciate any help or insight.