All Forum Posts by: Ryan Crowley

@Ashish Acharya and @David Saperstein. thank you guys very much! Just to clarify, whether I had an LLC or S-Corp, if my monthly business income was $5,000 and for an easy expense example: office space was $1,000/month, business vehicle was $500/month, accounting software was $500/month, then I would effectively only be paying taxes on $3,000 of income ($5,000 - $2,000)? Is that accurate?

@Ashish Acharya thank you very much for your reply and knowledge. Can you give an example of another entity and structure that would work like this? I have an LLC already, but as far as I know you cannot get any special tax shelter from that.

Hey everyone, like most people here, I have read Rich Dad Poor Dad several times now and am inspired each time I read it.  In there he mentions creating a corporation to significantly save on taxes.  He references being able to take your income, then pay certain expenses (like your car payment and vacations) and THEN whatever is left over after that is what you report for tax purposes.  In other words, you can spend most of your income prior to paying any taxes on it.  Has anyone done this with their real estate or other business or have the tax laws changed since then? Thank you SO MUCH!

@Anna L. Thank you! Yes there are always ways to find more deals with creative financing. Super exciting stuff

@Michael Noto thank you for your reply, it would very much impact my ability to get loans.  So with that in mind, I was curious if there was a certain "number" of either cash in the bank or monthly cash flow that people achieve prior to quitting W2?  thanks for your help!

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $161,000
Cash invested: $6,000

FHA 3.5% down house hack!

What made you interested in investing in this type of deal?

the ability to use an FHA loan and house hack it

How did you find this deal and how did you negotiate it?

Found on zillow and was able to meet the owner and negotiate that way

How did you finance this deal?

3.5% down FHA loan fixed for 30 years

How did you add value to the deal?

later refinanced to a much better interest rate with FHA streamline

What was the outcome?

increased cash flow with super low down payment

Lessons learned? Challenges?

background check tenants very well and keep their deposit if damaged

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Scott Swope at Flanagan State Bank in Bloomington, IL

Hey guys, been thinking a lot lately. I’m very intrigued by the idea of pursuing real estate investing full time. I’m nowhere close to financial independence yet, but I’m curious if anyone here has quit their W2 to go all in on real estate? Would love to hear what you did to make it work. Thanks! You guys are awesome

FYI - I currently own 8 units in central IL so would have a little bit of traction

Hey guys! I’m a long way off from my goals, but I currently own 8 units. For bookkeeping, I have been using excel and doing it all myself. I want to scale up soon, what programs do you use for bookkeeping? Or are there property managers who do it all for you?

I’m a long way off from my goals, but I currently own 8 units. Wanting to scale up a ton in the next 3 years. Having trouble with bookkeeping. What do you guys do for bookkeeping as you grow your portfolio? Currently use excel and do it myself. can property managers do this for you with larger buildings?

I just got a 3 unit property under contract. The property has a ton of space in the unfinished basement as well as it’s own separate entrance to the basement (therefore not disturbing tenants). So to maximize cash flow, I would love to rent out the basement for storage space. Have any of you done this before and did it work out well for you?