All Forum Posts by: Ruth Buckley

Hi all, 

Three tax questions hoping folks might have experience with 1. If we are selling a rental property that we lived in for the first three years, moved out, and then rented for the subsequent three years and we now sell, do we pay depreciation recapture based on 3 or 6 years?

2. How is the basis for the depreciation calculated (the amount depreciated over the 27.5 years), I know it's the building value minus the land value but how is this determined?

3. Is capital gains tax calculated on the gain pre or post depreciation recapture?Many thanks in advance!

Hi there BP,

We are trying to add a small, functional basic full bath to an attic. We are getting crazy prices from contractors ($30k+). Walk in shower, small vanity and toilet, drywall installation, plumbing and electrical, cost effective materials.

Are we bring unrealistic in assuming we can get this done for $15k if we did some items like tiling and flooring ourselves?

TIA for any insight on this!

Hi BP folk,

I'm not quite sure if this is the correct forum to post in as I'm still figuring out the site but I'm looking for good, cost effective (speed not an issue) contractors who have experience in attic bathroom conversions.

Any recommendations?

@Nathan Gesner thanks again for pointers!

Thanks both, great advice!

Hi BP landlords, 

Two quick q's I was hoping folks could help with:

1. We put our townhouse on the market for Sep 1st rental last week with a realtor. He told me it would go out to '500 websites'. The townhouse is pretty new and in great shape so I was surprised not to get any viewing requests this week. When I went online I could not find it advertised on any of the big websites (Zillow, Trulia, Hotpads, etc.). I could only find it on one website. I have signed a contract with the realtor, am I still obligated to stay with him despite this? Should I request a deduction on the broker fee based on the lost time marketing (approx 1 week)?

2. We just signed the P&S on a multifamily. The lower unit already has a lease rental until Nov 30th of this year. We discovered that one of the people living in the unit is not on the lease, should we request that they are added before we close? Also there was no statement of condition signed when the lease was originally signed. Should we request one before close?

Thanks for any pointers!

Ruth

Thanks for the great advice folks! @Tyler Billick we are still going through the close process but will hopefully be complete in the next few weeks! The cap rate works out at about 5% and the 1% rental rule about .6%, I've found it challenging to find places that meet the 1% rule in this area. 

Hi BP,

We are currently in the process of closing on a multi family as a primary residence. We plan to rent out our current townhouse where we live now and the second unit in the multi family (this is under lease until Nov 30th).

What would be the best approach for renting our townhouse in Brighton? Using a realtor? If so does the landlord pay a fee to the realtor in addition to the tenant? Does the realtor also carry out credit checks and screenings? We are thinking a family or three young professionals would be the best tenants as the townhouse was a new construction when we bought it three years ago so it’s in pretty good nick. 

Thanks in advance for any pointers!

Thanks folks! @Brian Hughes impressive tenants!. Thanks for the pointers on the handrails and liability insurance.

Hi Fellow BP Landlords,

We are looking at a nice multifamily as a rental investment. Our only concern right now are that there are over 20 steps to the front door and then another ten or so in to the second unit.

For me it's not an issue but being new to the rental market I'm wondering if this will be an issue for prospective renters.

Any thoughts or experience with this?

Ruth