All Forum Posts by: Simon W.

I'm looking to partner with a builder to raise funds for a syndication holding long-term rentals. We've worked through most of the financial aspects, built in buffers, and taken a cautious approach.

One key priority is setting up checks and balances to reduce the risk of fraud, especially when it comes to handling funds. I want to make sure there are multiple layers of oversight to prevent issues caused by a bad actor or rogue employee.

Here are some ideas I have so far, but I’m looking for more:

1. Two signatures required for checks over $1,000 – Does the bank actually enforce this? And what happens with electronic payments (Zelle, wire, ACH, etc.)?
2. I hold the account in my name and grant them access – Would this create any liability for me?
3. Legal agreements – Of course, I’ll have an attorney draft and review them, but I want to come prepared with ideas to strengthen protections.

What other safeguards or ideas do you suggest?

Do you use any fancy tool that you plug in your numbers to calculate your net per year ? Or Just use excel ?

I use excel , but many times I forget to add any expenses and then it messes up the calculations.

How do experienced people do it ?

@Simon W. If you just put a 0 for MISC 🤔Well maybe you can help me out with next : I have a 7 different corporations and LLCs that I have to file for 1099NEC how do I do that in Buildium? They told me that I can file only for one 🤷‍♀️

@Simon W. Right! It can but only if you're a management company you'll have to file 1099 MISC and then 1099NEC .I only need to file 1099NEC because I AM a property owner.

Thanks for your advice! I have Buildium right now and I like the tenant management part so I think I will just add QBO for an accounting I can also file 1099.

Property managers, how do you collect rent from tenants, keep your management fee, and send the remainder to the owner without it reflecting as if you received the full rental income in your bank account?

Are you using a specific property management software to handle this automatically, or do you have a different system in place to ensure accurate tax reporting?

Would love to hear what’sworking for you!

Thanks!

Did you ever find a solution? My CPA was unsure... do you issue 1090-NEC for the difference between 1099-K and 1099-MISC or do you double up the income (i.e. 1099-NEC for gross rents from PM, 1099-K of the net owner distribution on 1099-K, then owner reports double income and puts a line item expense for the 1099-K since 1099-MISC covers gross rents).

Hello everyone,

I am a new investor looking for my first property (ideally multi-family, 2-4 units) in the Eastern PA region. Open to the greater Philadelphia region extending to the Lehigh Valley with a budget up to $500-600K. 

As a new investor, would prefer something in the Class B range, ideally closer to turn-key but open to doing some minor rehab if needed.

I grew up in Montgomery County PA so am familiar with the areas. Curious on people's thoughts of the long term potential of the Lehigh Valley, and any one area in particular such as Allentown vs Bethlehem vs Emmaus. 

Looking forward to any suggestion and advice going forward as I try to navigate this journey!

-Amish Patel