All Forum Posts by: Account Closed

New tenant asked for a ceiling fixture to be installed while electrical sockets are being repaired. This is a 1890's home that never had one.  What are my responsibilities for each bed room by law in NJ? any general advice? 

@Jana Cain Thanks so much - Also is a new roof amortizable or a giant repair expense? 

Thanks so much - Also  is a new roof amortizable or a giant repair?

Correct, expenses for a property purchased that will be rented. So yes, your right on target with the fixed asset account called ready to rent. Now,  would I do the same for new appliances? 

Perfecto! 

Typical NJ, where even in the poorest part of the south, contractors charge as much as they can get out of you. Basically accounting for down time between projects. If you shop around, you will find that other contractors already know what their peers charge and keep it around the same rate. What you need to do is get another quote, but realistically consider splitting this up between licensed contractors and handymen.  If a handyman can do 75% of the work youll save a ton. 

What category/chart of account should I use? The CPA says to add it to the property (asset???). Very  confused... please advise. 

To househack legally, you need to legitimately live there, not airbnb. Perhaps thats why... 

@Gita Faust

Thank you, i'm asking more specifically, what categories need to be added to QBO in order to categorize these? 

My CPA is asking to categorize the following:

"Ready to rent"

"Repairs"

"Appliances"

To be amortized im assuming, added to the basis of the house.  Please let me know how you guys handle the chart of accounts?