All Forum Posts by: Tyler Neison

Are there any lease agreement standards you all use for your single family rental properties? Needing one here soon to list my first property. I and the property are in KY. Zillow has an agreement template I'm filling out but want to see if there are any templates you all use that cover all the important bases...

Thanks

What is the best software service out there that is under $20 a month to use for the tenant to pay rent and submit any maintenance issues? The only one I've heard of so far is RentRedi. I only have 1 sfh property right now that I would use this on but plan to get into some commercial/industrial properties in the future and would like to use the same service...

Thanks

I just put my current house (call it 18118) up for rent and am receiving applications from prospective tenants. I have a mortgage on the house in my personal name as it is currently my personal residence. I am moving out of it into a new house that will be my primary. I am considering creating an LLC and then a opening an operating and reserve/deposit bank account for 18118. Primarily so the lease agreement and payments to and from me looks professional coming to/from an LLC account and all expenses and income are properly isolated to this property. Maybe down the road I can transfer the property deed into the LLC, but I don't want to risk having it called and having to refinance with a high rate. Has anybody else done this and what are the disadvantages, if any?

As an additional consideration, if you were to buy more properties in this area would you lean into buying a new construction SFH in one of these communities taking advantage of the incentives they're offering to attract new customers i.e. rate buy-downs, kitchen upgrades, etc? or stay away from those and try to buy already established homes and neighborhoods?

I'm located in the East Louisville area where there has been a ton of new SFH construction over the last 2 years as shown in the map below. These new SFH houses range from $300k up to $600k depending on the specific area and builder. Builders are the big names- Fischer, Ball, Pulte, etc. I currently have 1 SFH in this area going up as a LTR later this year and a new personal residence being constructed. Would all of this new housing supply make you reconsider buying additional properties here?

 great, thank you

Hello, 

While I am in the process of finding a new CPA thought I would pose this question here and hope someone has been in the situation in the past. 

I am planning to buy another SFH property this year to run as a STR. I plan to meet all the criteria necessary to be able to classify the income/expenses from this property as active. Will do a cost seg and take advantage of all the paper losses that I can in this first year.

What happens if at year 2 or 3 I decide I want to instead run it as a LTR property? In year 2, assuming it's now a LTR property, everything would go back to being passive income and loss only being able to offset itself? And any carryforward loss from Y1 could only offset future passive income?

Hopefully that's not too confusing and it's easy to understand my question...

Thanks!

Here is my current situation. Currently live in and own a SFH w/ 2.5% rate. Building a new house that will be done around Nov '23 - Jan'24 and will be my new primary home. Expecting $80k-$100K income tax bill on my active income during 2023 (not RE related).

Only plan I have as of now is to turn my existing home into a LTR as soon as I move out. My new house will only by 3 miles down the road so I will manage it myself. With a 2.5% 30yr fixed rate I plan to hold it indefinitely.

My primary goal for this year is to try to put that $80-$100k into another property instead of paying it to Uncle Sam. It seems to me the best option I have, given my current situation and non RE related job, is to buy and operate a STR (AirBnb) property, do a cost seg on it, and use that to bring down my active income thus reducing my tax bill.

My current primary house in 40245 backs up to a private golf course and is near 2 or 3 others but do not think there is a sufficient demand to AirBnb it, which is why I planned to just find a LTR tenant. When classifying a property as an STR could you do that for 1 year, take advantage of all of the tax benefits, and then transition it into a LTR starting year 2?

Open to suggestions!

Thank you

 Thanks. I'll take a look at Rabbu- first time hearing about it. Have you used the AirBnb tool on BP? Does that estimate get anywhere close to being accurate?

What metrics do you look at or any services to determine market demand for AirBnb's in these "less popular" cities such as Cincinnati, Louisville, Lexington, Indianapolis. Less popular as compared to cities like Nashville, Destin, Clearwater, etc... where I am also looking. Would you trust AirDNA as your primary source to make a decision?