This allows us to close extremely quickly, which is an important competitive advantage.I don’t know how to read our own tax returns, and I’m certainly not going to read yours.

Investors get stuck and cannot cash out because of tax complications.

Another downside is you loose on the advantages, of the Federal Tax Code, by not closing in the name of a LLC (you can elect to have a LLC taxed, as a S Corporation which is a whole other conversation).If you want to close in the name of a LLC, Mortgage Lenders will offer you Commercial Loan Terms (25-30% down, a 15-25 year amortization, and a ballon due in 5-7 years).

I again state the problem is with the underwriting.  8.5% vacancy, pm 15%, 25% turn over (using my reduced numbers) or 37.5% using your actual, my minimum maint/cap ex would be 50%, prop tax, insurance, missed payment (seeing my vacancy only included the one month turn over), P&I?

With an 8% mortgage rate, they would pay more than $650k in interest.One major problem for both buyers and owners beyond mortgage rates is the rising cost of property tax and insurance.

Whichever loan that you decide to use, the interest will be tax deductible due to interest tracing rules.

It links to our business bank account and our business credit card so come tax time, deductions should be easier.

The property was rented and generated $160 cash flow after mortgage, taxes, insurance and property management fees were paid.

Is your DSCR ratio greater than 1-meaning are you cash flowing (according to the lender's criteria of mortgage, property taxes and insurance (and HOA) if applicable).

I did not see that contractor here:http://www.phila.gov/li/Pages/FindLicensedProfessi...And I did not see that contractor here either:https://hicsearch.attorneygeneral.gov/Always a good thing to see that the contractor has registered with the appropriate government department(s),