All Forum Posts by: Nabeel Qureshi

Got an interested tenant who is an agent at a major insurance company. I don't know how this works, but he indicated he grosses a very high salary, but puts a lot back into the business, so I am unclear what his yearly salary is- I think about 2.5x rent. He is a 1099, I have always been a W2, so unclear how to go about vetting him.  

@John Underwood

2 ton water based electric heat pump.

@Joe Splitrock

I do agree it will be easier to coordinate a replacement while living there logistically.

In terms of adding it to cost basis Versus the depreciation method (since it’s considered an improvement when rental) which is better?

If I do it now rather than when it’s a rental how much am I really losing on not going the depreciation route?

@Marco G.

I definitely have multiple quotes. They seem to range right now in the 7500-8000 range. How much will that really help when depreciating this over 27.5 years?

@Bradley Padula @John Underwood so it's definitely 41 years old (as confirmed by the condo association engineer, building manager, multiple HVAC companies, and the manufacturer), its the original, granted its for a 1705 sq. ft. condo on the 6th floor so perhaps didn't run that much over the years (I have only been living here a year and it works fine!).  

Probably needs to be replaced soon, just figuring if I should do it now while I live here, or better to do it when its a rental...appreciate the input all!  And the BP community, so helpful :)

What do you mean by "after there's been a change in use to trade or business property."

Thanks @Mike Wood and @John Underwood

It’s 41 years old apparently. When I bought the condo (no intention at that time to rent it out) the building manager told me it’s original and home inspector wasn’t sure  of age but said it might be. 

I had three HVAC companies come by and tell me it needs to be replaced as the building engineer said that too. 

Newbie here.

My HVAC needs to be replaced in my primary residence condominium. It’s still working but it needs to be replaced in the near future because it’s old.

I plan on moving out in six months and renting it out. Will be my first rental.

From a tax (and any other factors) perspective should I go ahead and replace it now or wait until I convert the property to a rental? From what I understand this would be a capital improvement which can be depreciated over 27.5 years but not sure how helpful that is and if it will help my spouse and I (both W2) on our personal taxes.

@Theresa Harris

rent - (mortgage+HOA+insurance) - property management. = $38.

This doesn't factor in any maintenance, HOA increases, vacancy rate, capital expenditures, or a property manager leasing fee- all of which will make me cash flow negative ...

@Will Fraser great idea! Thank you! I’ve never rented before so was a bit nervous but I think just gotta dice right in! I already own the property..