All Forum Posts by: Michael Anderson

Thanks Ashish. I think it's a wash either way. Appreciate the reply!

Hi everyone. I recently sold a SFH rental property to capitalize on the current market. This is the situation:

6 year tenant moved out. Repairs had to be done, including flooring, paint and some plumbing. After the work was done, we decided to sell the property instead of rent to new tenant. 

Question: Should I offset the rental income with the repairs? Or use the repair expense to offset the Gross Sale amount of the house?

Thanks!!

Hey everyone...preparing taxes :( . Have a few single family rentals as investments, not my full time gig as I have a 9-5 job. We hire contractors to do work on the houses - basic stuff like plumbers, electricians, etc. I make decisions on tenants and in the eyes of the IRS, we are "Active" but we do not take the QBI safe harbor.  I deem that these houses are investments and not businesses, no need to send them 1099's?

Not looking for binding tax advice, just thoughts about the above situation.

Thanks!!  

Damn.  Can't make this meet-up.  Is this a monthly gig?  

Tony, why not just sell them individually on the market?  What is the benefit you see in selling them as a portfolio?

Thanks everyone.  The house is occupied but the carpet needs to be replaced.   Instead of recarpeting,  we want to do tile and the tenant is thrilled about this.   I think porcelain is the way to go.   Don't need the travertine headaches as mentioned.   Will also look for smaller tiles as 18*18 do seem a bit big.    Mike 

Hi all.. I am going to be tiling one of my rentals.   Replacing carpet of course.   Was at Floor & Decor today plowing through some tile.   My first approach is to do porcelain 18x18 at about 1.59 Sq ft.   Then I saw some travertine for sale at 1.52 Sq ft.   So a couple of questions for my BP friends out there.  But first let me tell you more about this property.   It is about 1275 sqft,  3/2 1 car garage. mkt value 125k.  What should be my target tile price per Sq ft?   Is the 1.50 range too rich?  We have awesome tenants who actually pay early every month.   I would expect they might be around for another few years so I don't mind doing it right for them and get some goodwill in return. 

Is travertine not as durable as porcelain?   Should I be looking for a cheaper tile? 

Thanks!   Mike 

update.   We will be applying for a home equity loan... 3.29% for 10 years.   $350 processing fee.   Not too shabby.   

right on Andrew!   Yes,  a "cash"  position is an advantage for sure and something I wanted to have in my pocket as a differentiator.   But really,  Cash deals in the Houston market are no longer a differentiator...so maybe just an equalizer! 

Mike

I think the risk is pretty low on losing my home.   I live in a well protected,  historical section of Houston.   Home values are buoyant with finite inventory.   All that said,  I really appreciate the feedback so quickly.   Lots to think about but I believe either way would be financially sound.   Just have to put pen to paper and make a decision.   Thanks Mike