All Forum Posts by: Roland S.

Discovering mold mid-project? Here are 5 Actionable Steps to salvage your rehab, protect your profits, & keep your real estate deal alive—perfect for flippers, developers, and investors: https://longhorn-funding.com/from-mold-to-gold-rescue-your-r... 

Roland@Longhorn-Funding.com 

Permitting delays can turn a dream commercial reno into a nightmare for real estate investors. This short blog post breaks down 5 actionable steps: research local rules early, build relationships with permit offices, over-prepare your docs, plan for hiccups, and use tech to stay ahead. Did you know delays can add 6-12 months and 10-20% more in costs? Don’t let that happen to your next flip or development — preparation is key! Check out the full post on our website at Longhorn Funding.

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If you’re a Real Estate investor, rehabber, or fix-and-flipper looking to grow your portfolio without getting hammered by taxes, a 1031 exchange might be your golden ticket. Named after Section 1031 of the IRS Code, this strategy lets you defer capital gains taxes by swapping one investment property for another. Here’s a beginner-friendly breakdown to help you get started.

Why It Matters: In 2023, the average capital gains tax rate for real estate hovered around 15-20% for most investors, per IRS data. Sell a $500,000 property with a $200,000 gain, and you could owe $30,000-$40,000 in taxes. A 1031 exchange lets you reinvest that money instead, compounding your wealth over time.

How It Works: You sell a property (the “relinquished property”) and use the proceeds to buy a “like-kind” replacement property within strict timelines. The new property must be of equal or greater value, and all funds must pass through a qualified intermediary (QI)—no touching the cash yourself!

Actionable Steps to Take:

1. Identify Your Goal: Decide if you’re upgrading to a bigger rental, diversifying into commercial, or flipping a rehabbed gem.
2. Find a Qualified Intermediary: Hire a QI before you sell. They’ll hold your funds and ensure IRS compliance.
3. Pinpoint a Replacement Property: You’ve got 45 days post-sale to identify up to three potential properties (e.g., a $600,000 duplex or a $700,000 retail space).
4. Close the Deal: Finalize the purchase within 180 days of the sale. Timing is everything!
5. Consult a Tax Pro: Rules are tricky—miss a deadline or misstep, and you’ll owe taxes.

Pro Tip: Rehabbers can use 1031s too! Sell a flipped property and roll the profits into a new fixer-upper. Developers might trade a finished project for raw land. The flexibility is massive.

Real-World Win: A 2022 NAR report showed 1031 exchanges saved investors $7.5 billion in taxes annually. That's cash staying in your pocket to fuel your next deal.

Ready to level up? Contact Longhorn Funding for hard money loan options to make your 1031 Exchange seamless. Defer taxes, build wealth, and keep your real estate empire growing!

Excavation challenges can make or break your land development project. Here are 5 must-know tips to keep you on track. Start by testing your soil—a geotechnical report can save you 15-20% in unexpected costs. Always call 811 to avoid hitting utilities, which can cost $3,500 per incident. Plan for weather delays, control erosion to dodge $10,000/day fines, and hire a seasoned crew with local experience. Dig smart and turn dirt into dollars with these pro strategies! Visit the link to read more helpful tips.

Flipping a fixer-upper? Here are 4 Red Flags that could sink your profits, plus actionable steps to dodge them. This is a Must-Read for Real Estate investors and rehabbers!

https://longhorn-funding.com/buying-a-fixer-upper-watch-out-... 

@Marcus Auerbach great post. So True! thx

Material shortages slowing your rehab or flip? Here are 5 actionable steps to stay on track and protect your profits. Must-know strategies for Real Estate investors and developers! Here are the steps to take: https://longhorn-funding.com/5-game-changing-tips-to-tackle-... 

https://longhorn-funding.com/3-renovations-that-turn-rental-...