All Forum Posts by: Mike H.

I lived in a Austin for 8 years before I moved to Brooklyn. Great town with so much to do. Probably not a great city for what you want to do with re investments. For people entering the market now the returns on buy and hold aren't great. There's probably some opportunity in the surrounding areas of Austin. I think you're on the right track with Dallas and Houston. 

As others have mentioned, Texas is notorious for foundation issues due to soil conditions and high property taxes which can be mitigated by knowing what you're doing and being close by. Good luck. Texas is an awesome state. 

Hi, where do you think the closest area to Brooklyn to buy a single or duplex for less than 200k on the 1% rule. Within driving distance? Say less than 2-3 hours. I think outside of NY state if possible. I see so many landlords here get beat up by laws skewed to favor tenants. 

@Linda Weygant Well said.  After a while i think he hated doing audits too!  That's why he went to work for a private business after working in audit.  It's definitely not for everyone.  Really long hours and for some, my brother included, the money just isn't worth it unless it really excites you.  

@Andy D.  Thanks for the encouragement.  I very much agree spending a little money on a CPA will be worth it.  I work as a project manager in construction and know very little about tax other than I wish we had a simpler system here in the USA.  I really don't even want to have more than a basic understanding of taxes haha!!! 

 @Andy D. Thanks! Yeah I'll file the extension and keep my appointment for May with the CPA/CFP.

@Linda Weygant Thanks! Don't worry about my brother!  He never filed taxes for anyone and never worked as a tax accountant and has been out of the field for the last 10 years anyway.  He did business audit accounting for a few years after school then left to pursue other interests.  

It is my responsibility to educate myself and maximize my investments.  I'm doing this now.  Really appreciate the education on this forum.

Thanks again!

Hi BP!

First post here.  I'm a long time lurker.  This community is really cool.  

My background... I grew up in Gainesville, FL.  I worked my way through college and realized with my income I could buy a house.  I bought one and then bought the house next door.  Over the next 5 years through grad school I lived in one room and rented the other 5 out to all my friends.  Since then, I moved to Austin for about 8 years.  I bought, renovated, and sold a house there as well.  I got married and now live with my wife in Brooklyn.  I've owned/rented the two properties in Gainesville for about 14 years.  I paid 58k for the two bedroom and 98k for the 4 bedroom.  I rent one out for 750 and the other for 1300.  I estimate they are worth 80k and 140k respectively.  

My question is about depreciation.  My brother is a CPA in FL and has done my taxes my whole life.  Now that I'm in NYC and married he's cutting me loose!  I've been doing research on how to file my taxes and one thing I don't understand is depreciation.  I spoke with my brother and I asked him if he had been deducting depreciation on my previous taxes.  He said "no, you don't make enough income on your properties to make it worth it".  From what I've read on all the blogs, I should be taking depreciation.  Obviously, I've been tracking all the other expenses etc on my tax returns.  

Anyone have some quick advice for someone that's owned 2 rental properties for 14 years and never claimed depreciation?  My income has been around 75k for the last three years.  My wife makes a bit more than that.  We got married in 2016.  The properties in FL are in my name.  I'm going to see a CPA/CFA asap here but can't get an appointment until May.  My wife and I are going to do our taxes this weekend on TurboTax.

Thanks!!!