All Forum Posts by: Robert Caccire

From what I understood about 1031 exchanges you can buy multiple properties. However, financing with a bank with such a high interest rate would eat into the cash flow.

Hi

I agree if I did 20% down it would not cash flow with interest rates today. Since we’re pretty much paying for all of it in cash it works. The note payable for interest only is at 6.5%. Monthly payment would be $1,083.

Hi

If we ever did sell we would do it all over again and do a 1031 exchange again.

Thanks. I didn’t think expenses would be 50% of cash flow per month. I was looking more towards the owner to owner financing of $200k with interest only. I figured I could pay this property off in 3 to 4 years with the cash flow coming in.

Can someone advise if below information is a good cash flow property?

purchase price - $950,000, buyer will do owner to owner financing of $200,000. It will be a 5 year interest note only balloon in 5 years. 

We will pay cash of $750,000 coming from a 1031 exchange. 

Rent roll is $9,600 per month 

Expenses estimate of $3k per month. 

Cash flow of $6,600 per month.

Leases in 2024 will increase $500 extra per month. 

Hi,

We're looking for a qualified tax person that deals with Real Estate transactions. We don't think the one we have is qualified with knowing the ins and outs of Real Estate. We seem to be paying tons of money every year. We need to take advantage of the cost segregation and accelerate our depreciation. Thanks.

Will an umbrella policy be enough to cover a lawsuit when owning multi family and commercial properties? Or is both needed when we have a lot of equity invested?  Also, for each property should they have their own umbrella policy or can we combine 2 or 3 properties together? 

Thank you. Need to do a disregarded LLC for protection. Yes we will also be purchasing an umbrella policy since equity is over 80%. Is the protection the same as a regular LLC?

Property A (investment) is under contract for sale and has no LLC. Everything is under husband and wife's name. Does replacement property have to also be under husband and wife's name for it be considered a 1031? We are looking to do an LLC on replacement property but I think we can't do one because of the 1031 exchange rules, is this correct? If so, how can we protect replacement property since we will have almost 80% equity in new property? Are there any asset protection strategies we can use? Thanks.