All Forum Posts by: Nate Pucel

@Jonathan Weinberger

1500/mo. Is current section 8 payout for a 3 1 in Detroit!??

So I'm wondering if I maybe messed up when it comes to accounting and taxes while rehabbing a house to rent.

The rehab has taken forever- 3 years. But, it's finally done. However, I'm worried that I didn't think ahead enough and structure things optimally. I bought the house in my name, in full (it was super cheap) and rehabbed it with my own money.

I didn't write off any of the expenses on my taxes and I'm worried I won't be able to write off the house or the renovation costs now that it's finished.

Looking for advice on this, as well as advice for how to structure things going forward as i have another house I'm going to renovate next.

Here are some specific questions I have outside of the problems with the first renovation.

1. If you buy a house in full, or get a mortgage with the intent of it being a rental investment, is that number tax deductible, and are the renovation costs?

2. Does it make sense to open an LLC to do this, or does it matter?

3. Is it too late to capture the tax savings from the first house, or are you able to do this by possibly having it assessed and using depreciation?

@Mary El

Hey, I'm looking at listing on FF. What's the process like? Do you need to have your own lease agreement that is specific to your house, or is that all done through FF?

@Gregory Schwartz

Hey! Thanks for the reply! Funny you say that, I actually bought it yesterday.

@Gregory Schwartz

I'm about to start renting out my first property. Do you have any advice on where to get a good lease agreement, and do you know of any good books that cover the bases related to self management?

Does anyone have experience renting to traveling nurses? I'm finishing up a renovation and it's in a C class neighborhood and I fixed it up probably too nice for the area so I'm leaning towards renting to traveling nurses with the hopes that i'll attract a better tenant than the area normally would. The only downfalls are that it's a shorter term than a traditional lease and that you need to furnish it. Benefits, I imagine, are that there's less wear and tear and you can ask for higher rent. There's a few hospitals nearby and I've looked at a website that seems to cater to nurse rentals so there seems to be a market for it. Does anyone else have experience with this that can offer insight or advice? Thanks!

@Greg Scott

Equity doesn't matter when you lose your job though.

So I bought an investment house (not my primary residence), and have been renovating it for over a year. My plan is to sell it this year, but I'm wondering how I calculate the amount of taxes owed upon sale, as it will technically be classified as long term capital gains, which seems pretty straight forward, but then I'm not sure how to determine what amount I pay taxes on, as I bought it for around 45k, and will probably have invested around 50k additional into it by the time it's complete. Also, am I able to subtract property taxes, utilities, outside labor,etc, from the amount I'd be taxed on?

Thanks in advance.

@Nate Pucel

Oh, and I'm not positive, and it could vary by where you're located so maybe look it up if they aren't, but I believe that those 2 circuits should be 20amp, in order to prevent the problems you're having. I'm not sure how familiar you are with this type of stuff, but once you identify the circuit those outlets are on, you can then identify their amperage as it says right on the breaker.

@Ethan Martin

There should be at least 2 separate circuits serving the outlets on your kitchen countertop. Find the outlet that's not on that same circuit as the others that keep tripping and have them use that one for either the coffee or blending, if they absolutely have to do both at the same time. If those 2 appliances need to be next to one another for what she's doing then they'll just have to use them at separate times. It doesn't matter if the outlet is in an inconvenient location for what she's doing as long as the electrical is to code. If they have an issue after you inform them of needing to use the other outlet, you'll know for sure how big of a pain they'll be going forward.