19 November 2024 | 15 replies
The insurance company may settle if the tenant has a case, but it be from a position of strength and primarily to reduce the cost of the fight.
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19 November 2024 | 11 replies
@Brad Herb Investing in a syndication via a Self-Directed IRA (SDIRA) offers tax advantages but comes with fees and limitations:Advantages:Tax Benefits: Gains grow tax-deferred (Traditional SDIRA) or tax-free (Roth SDIRA).Avoid Penalties: Keeps funds in the IRA, avoiding early withdrawal penalties.Diversification: Adds real estate syndications to your retirement portfolio.Disadvantages:Fees: Setup, custodian, and administrative fees can reduce returns.UBIT: If the syndication uses debt, income may be subject to Unrelated Business Income Tax (UBIT).Complexity: Strict rules; all income/expenses must flow through the SDIRA.Illiquidity: Syndications are long-term, locking up funds.Use an SDIRA if the investment is significant and the UBIT impact is minimal, especially with a Roth SDIRA for tax-free growth.Remember that RE, outside of retirement accounts, provides the biggest tax benefits.This post does not create a CPA-Client relationship.
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11 November 2024 | 8 replies
Special business tax preferences, such as a special deduction for energy-efficient commercial building properties, should be eliminated.Regarding the OP's question, I see no specific Project 2025 policy that will impact investment real estate.
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17 November 2024 | 5 replies
Electrical contractor quotes me $5k but noted he could do it on T&M at a reduced rate.
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19 November 2024 | 28 replies
Multi-family units are particularly good for this, providing consistent rental income and reducing vacancy risks.
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14 November 2024 | 0 replies
I’m trying to get a better understanding of the unlevered IRR hurdles SFR / BTR investors have for value-add improvements.By "value-add improvements" I’m referring to upgrades made to a property that increase rent or purchase value, often including kitchen remodels, bathroom updates, solar and other energy efficiency improvements, fresh paint, a new garage door, finishing a basement, adding a deck, and updating flooring, to name a few.I’ve been hearing a lot of different reactions to this question the last few months.
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15 November 2024 | 9 replies
I've had so many deals fall through this year and am feeling exhausted from putting in a lot of time and energy to deal I thought were going to be solid an they ended up falling through.
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18 November 2024 | 12 replies
In other words, if one property requires a major repair, reserves from other properties can help cover the expense, reducing the need for each individual property to have a fully stocked reserve at all times.
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16 November 2024 | 2 replies
If not feasible, consider increasing rent, reducing purchase price, incorporating future benefits, or targeting multifamily properties.
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18 November 2024 | 14 replies
At that point you can either add your own cash to the cash from the 1031 and reduce your new mortgages.