All Forum Posts by: Brian M.

Correct! Don’t get me wrong, I’m concerned about taxes too. I’m just trying to understand the additional costs of filing extra paperwork in a fund model and how much that will eat into my returns. 

I've seen this topic get brought up in other passive RE forums but am curious to hear from the BP community. It seems we're seeing more and more operators move to a fund model, which I like for diversification. However, I'm wondering if funds could have costly tax ramifications. 

If a fund has a $50k minimum and buys properties in say 8 states that have state income tax, aren't you potentially adding a lot of costs to your taxes by now needing to file multiple K1s and potential state income tax returns if gains are large enough? Thoughts?

We’ve had the bone for a long time and are moving, but don’t want to sell it in a down market. We could do a traditional long term rental, but I’m curious if there’s a market for 30 day rentals in general (also asking around Austin), and if it could be more profitable potentially than a trad LTR.

It’s a very unique property. I would envision the market would be people wanting to come to Austin for a month so potentially traveling nurses, corporate housing, or people working remote in Austin for a month. 

Hi all,

We have a 4 bedroom home in Austin TX we're considering renting out as an STR. City regulations aren't allowing for any more str licenses, but we could still rent it out as a 30-day rental without needing a license.

Curious if anyone else has done 30 day rentals and what kind of traction or performance they’re seeing?

Thanks! 

For some additional context, we would use one of these pod companies that builds them. See images below.

Hi,

Just a general question here. Would adding a backyard pod with AC, no bathroom, add value to your home?

We are considering buying a $1.25 million home in Austin tx to live in. We will likely be in the home at least 5 years. We are thinking of adding a backyard pod ($50k to build, permit, etc) as another office. Doing some rough math here, we would be paying $580/soft for the $1.25m home. With those numbers, can one estimate that a 200 sqft pod add $116k of present day value? 

Thanks in advance!

We've lived in our condo for the past 3 years and are considering renting it for the next 2-3 years then selling it to take advantage of the 2-out-of-5 rule. Since we'll be renting it we want to put it in an LLC but are concerned that may prevent us from taking advantage of this 2-out-of-5 year rule?

I’ve already check with my cpa and they said this is fine, but I wanted to post here to get a gut check (I’m very new to all this).

Other context:

We want to rent it for at least the next year because there’s a massive construction project taking place for the next “6 months” (likely longer). So We are thinking the construction will make it hard to sell.

We already have approval from HOA to rent.

TIA

Thanks everyone for all the replies! Sounds like syndications are the way to go in my case. 

Im trying to learn as much as I can. Just picked up “The Hands Off Investor”. Any other books or resources to recommend? 

Also, what’s the best way to find syndicators to research? I’ve been going on crowdfunding and just googling the ones I see on there.

TIA

We're looking to purchase an STR and my wife's parents have offered to generously loan us $60k for a down payment on an STR. They don't expect to us to pay interest.

I know they can gift her $16k each ($32k) total tax free. We're very new to REI, so not sure what we can and can't do. We're very open to setting up an LLC or getting creative. Her parents are NOT looking to profit off of this.

Thoughts?