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20 March 2024 | 5 replies
Not a CPA or tax professional.I’ve never audited every single line item of my S-Corp tax returns for over 18 years, and I’m truly curious why it really matters in one years instance, what corporate account was used to conduct business, as long as the financial information is accurate and correctly reported from said dedicated business account.This should be a separate issue from proper and legally correct business operations, ie a checking account with correct tax ID, no outside commingling of funds with self or other business entity.
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21 March 2024 | 25 replies
I've never taken it, for instance.
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22 March 2024 | 132 replies
As a famous adage on Wall Street says, past performanceNow this comes on top of my previous argumentation against these loans.
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19 March 2024 | 26 replies
For instance… could I fund 10 flips at once if I had the deals lined up?
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19 March 2024 | 12 replies
For instance, they're opposites in terms of liquidity, physicality, age of the business model, volatility, etc., etc. ...and, my impression is that they're also opposites in terms of the mindsets of the investors (e.g.; many RE investors have comparatively longer time horizons, and I would assume that most RE investors have a lower tolerance for risk).I'm a RE investor, and don't have any crypto, but I have plenty of friends who hold a lot of crypto, and we've discussed crypto endlessly...At the risk of sounding like a luddite, even after years of discussions and reading countless articles, I still don't feel like I have a good understanding of crypto. ...and frankly, I'm skeptical of people who claim to have a thorough understanding of it (yet, there are no shortage of self-proclaimed "experts" who describe crypto with the confidence of someone predicting a sunrise!)
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22 March 2024 | 88 replies
This slogan merely means you can put down ZERO and the Investment will be NEGATIVE but if you buy it without financing it, you will Cash Flow.You make the Investment Cash Flow.Also, Cash Flow can be a distraction from much bigger problems.Buying a Property that you cash flow in a DEPRECIATING Local Market is a set up for failure.Take Detroit during the decades before it went bankrupt.You may have bought a Cash Flowing property decades before, but the writing on the wall was that Detroit was going to depreciate when the Domestic Auto Industry was a decades long slow train wreck.Detroit, at that time, was 90% dependent on Domestic Auto.There are 2 rules that I follow:1) ALWAYS buy in Appreciating Markets with a horizon of at least 10 years2) You (notice, I said YOU) SHOULD Make the Investment at least break even if not some positive cash flowIf you are in an Appreciating Market, your Cash Flow will grow.For instance, I am in Brooklyn, NY and my first investment was in 1998.My rents went up over 350% (from $1k for a typical 2 Bedroom apt to $3.5k today) over the 26 years.Not only do I cash flow from the Rental Price Appreciation but soon my Mortgage will be paid off by the tenants.The Cash flow will be HUUUGE in about 2 years from now.Many Investors here seem to not understand that Appreciation is BOTH the Investment's Value and the Rental Price Appreciation.
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20 March 2024 | 21 replies
If you are self managing I would say 15% is a minimum, and can go higher, up to 40% in some instances.
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18 March 2024 | 14 replies
In this instance, I'll borrow $80,000 and pay back $88,000.
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18 March 2024 | 3 replies
Keep in mind, the transactional costs of selling a property in Philadelphia with the high transfer taxes and brokerage fees (althoug these are expected to be reduced in light of the landmark NAR settlement that occurred yesterday), adds additional transactional costs, especially in instances where the home was purchased as recently as last year as is the case with your home.