You would maintain management control while giving them a return on their investment.Is $6k-$7k Cash Flow Enough to Attract a New Partner?

It’s not a profit center for them and they have a reputation to maintain.

The interest rate being paid on the debt as compared to the ROI being earned on the money that you maintain by not paying off the debt3.

I am a full time real estate agent that specializes in luxury and residential - you never know how our two worlds could collide.

Bonus depreciation is just a special part of the US tax code.It allows you to take accelerated depreciation on portions of your property depending on when an asset is put into service.At the time of this writing, you can write off a huge portion (60% in 2024) of many qualified components that have a useful lifespan of 15 years or less.That means a certain percentage of things like landscaping, sidewalks, latches, appliances, fences, certain flooring, etc is depreciable in year 1.The bonus depreciation rate percentage changes yearly depending on the administration and the tax code.For years 2015 through 2017 first-year depreciation for all the items on a 15-year schedule or less was set to 50%.It was scheduled to go down to 40% in 2018 and 30% in 2019 and then 0% in 2020.But then Trump got elected, and he enacted the Tax Cuts and Jobs Act.That moved the bonus depreciation percentage to 100% from 2017 to 2022.In 2023 it went down to 80% and it’s currently at 60%.Depending on who gets elected again, 100% may be back on the table.Only time will tell.We know that the US government wants to incentivize more development and ownership of RE.They want Americans to continue to build and maintain our physical world.That’s why real estate is one of the most tax-advantaged assets in the US.Depreciation and bonus depreciation for RE are very positive and will likely continue in the years ahead.

Maybe as much as 50-60 years if maintained well. 2.

We try to warn our buyers about this and to use one of our trusted resources that is normally local, in the business for years, super knowledgeable and has a local reputation to defend and maintain. 

Some of our tenants have no idea how to maintain or clean an apartment.  

Also, shiny object syndrome I understand and have a hard time with that as well LOL, but find what is reasonable and actually attainable, those things will come with time, real estate investing is a marathon, not a sprint.

Pricing, usually when builder finishes a house, especially towards the end of closing out a community, their motivation to sell is extremely high because they have to maintain the staff there until they sold the last house in the community.