Also, consider factoring in a conservative appreciation rate and double-checking your repair estimates.Hope this helps!

You also want to subtract the repairs from the already discounted price. 

There are new laws affecting California transactions in 2024, some of which are very relevant to investors and house flippers.According to the California Association of Realtors, starting July 1, 2024 most 1-4 unit properties that are resold within 18 months (aka flips) must disclose:- repairs, renovations, room additions and structural modifications that were performed by a contractor with whom the seller entered into a contract- the name and any contact info for the contractor for any work over $500- any permits obtainedSo you still can be an HGTV star, just make sure you do it by the book. :)Have any of you flipping in the Los Angeles area been affected by these new disclosures?

Hey everyone,I’ve been working in real estate for a little bit now, and like many of you, I’ve found that two big challenges keep coming up:Finding distressed or off-market properties before they get picked up by others.The time-consuming process of property analysis—especially when trying to figure out ROI, ARV, or repair costs quickly.I’m curious how you all are dealing with these issues.

What plan does the buyer have in place for set backs such as real estate market down turn, major repairs etc.

You just need to bring it in continuously every other day for repairs, to keep fixing the stuff that constantly breaks, to make it run, so because the car is always being fixed (because it always breaks), my conclusion is the car works, and so the car brand is A-Okay.That doesn't make any sense, does it? 

In my case, it was obvious the appraiser took into account none of the repairs we did and just appraised them all at our purchase prices so the bank was happy to wave them.

You can always put in sweat equity to do repairs / renovations but you still have to pay for supplies and other associated bills.4.

Add at least $3k per year to any repair and maintenance expense you’ve assumed in your expenses calculation 6.

Depreciation helps reduce the taxable rental profit, potentially bringing it to zero or even creating a loss, which can carry forward to offset future rental income or other capital gains.For high wage earners, other tax strategies could include leveraging cost segregation studies to accelerate depreciation on rental properties through bonus depreciation, taking advantage of tax-deferred exchanges (like a 1031 exchange), or maximizing deductions related to property expenses (mortgage interest, property taxes, insurance, repairs, etc.).