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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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21 November 2024 | 39 replies
Things to consider: daily internal operations, external branding and operations, lending, in addition to inside out *legal protection and outside in** legal protection, privacy/anonymity/identity protection and security...Prevention measures at different levels, preventing the attack from being initiated vs preventing the attack (lawsuit) being successful vs reducing the damage of a successful attack.... there are many elements and I see people pick one and argue about it without looking at the whole
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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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26 November 2024 | 44 replies
Reduced Market Visibility: Fewer potential buyers, possibly leading to lower offers.
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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 | 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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17 November 2024 | 12 replies
LOC on business purpose doesn't really make sense from a lenders perspective.Think about it, you have to tie up funds and not earn a return until the borrower wants to use them.Time is money and if your lending money you want a return each day your money is out.I'd strongly recommend just going with a cash out refinance and avoid spinning wheels looking for a LOC.
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19 November 2024 | 19 replies
I have a problem with financial advisors as a general rule, because most are sales people trying to earn a commission.
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17 November 2024 | 30 replies
Quote from @David Cherkowsky: @Basit Siddiqi@Andrew Strauss@Katie RippI received the following response:"The more active income you earn, the less you can deduct from your rental property due to the phaseout of the Passive Activity Loss deduction.
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11 November 2024 | 14 replies
Agents can earn tons very quickly if they're savvy.