All Forum Posts by: Todd Willhoite

@Michael Plaks if put it in a traditional ira or sep or simple then if pull it out next year won't I have the 10% penalty since I am under 59 1/2?

Well, thought about $10-$20,000, but more is better.

Can I defer income to 2018 where the tax brackets are more favorable than 2017 by doing the following strategy? I don't want to tie any more money up in tax deferred accounts, but if I make a deposit to my sep-ira or simple-ira for 2017 and then in 2018 roll it into my roth ira I will get to deduct the contribution on 2017 taxes and pay income taxes on the same amount in 2018, right? But then can I withdraw the deposit from my Roth IRA without penalties? (I am under 59 1/2 years of age. My existing Roth is only 1 year old.)

@Ben Raygor Thank you for clarifying.

Section 179 expenses seem to allow deduction of roofs, heating, ventilation, and air-conditioning property, fire protection and alarm systems, and security systems on non-residential real property.  By "non-residential" do they mean just not on your primary residence, or only on commercial buildings to exclude rental houses?

On #2 above states interest on Heloc for rental is deductible.  What if the Heloc is on your primary residence and using proceeds to purchase rental house?  If you have a Heloc with nothing borrowed on it in 2017 is there an incentive to draw on it now with the anticipation you will want to use the cash in a few months to purchase a rental?

I am most of the way through reading the book and it is one of my favorite real estate books.  I do not have any intention at this time to invest out of state, so that is not why I bought the book.  I am more interested in his system and how I can use it locally to find deals, find good property managers, and find good contractors.  There is a lot of wisdom on real estate investing in the book.  I do recommend it even if you are not looking to invest out of state.

@Brian Garrett

One is 3 bed 2.5 bath 2 car garage approx 2000 sq ft in B neighborhood that will be a 4 bedroom after rehab.  Under contract for $87,000, rehab between $15,000 and $25,000.  Will rent for at least $1,100 /mo.  

2nd is 3 bed 2 bath 2 car garage 1300 sq ft in C neighborhood. Under contract for $56,000. rehab $10,000, maybe less. ARV $100,000+ Will rent for at least $850 /mo.

This year I have not accomplished much in real estate, other than closing on one house in the first quarter and managing my rentals.  I have spent all year looking for a mobile home park but without success.  I have not pursued buying additional rental houses, but this last week I had two separate house deals come my way.  On Monday I submitted two offers on two houses and BOTH where accepted!  One was a Fannie Mae deal. The other deal came from an acquaintance from high school (33 years ago) who knew that I do real estate on the side and knew another former classmate of ours wanted to sell his mother's house.  Assuming the deals close and the rehabs go as planned, these should both be good deals.  Funny how in real estate you can think you are not making headway then something good comes along.

No reason to wait for final decree IF husband will sign contract/deed.  Any communication with husband to see if he is willing?