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12 June 2024 | 13 replies
3) What items should I definitely disregard, i.e., which one does not bring much house value at sale?
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12 June 2024 | 14 replies
If entities are disregarded, you can keep up with more than 1 in a single QBO account using the location/business feature to keep track of them separately.If you want to discuss any of this further, I'm happy to answer questions and help walk you through it.Best of luck!
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8 June 2024 | 1 reply
These are some of the ways the clients could be affected by property managers who are not prepared: Extended VacanciesInadequate marketing strategies and tenant screening processes can result in prolonged vacancy periods, translating into substantial lost rental income.High tenant turnover due to poor resident relations further exacerbates vacancy losses.Inadequate Maintenance and RepairsNeglecting preventive maintenance and delaying necessary repairs can lead to accelerated property deterioration and higher long-term repair costs.This can also negatively impact tenant satisfaction, contributing to higher turnover rates.Legal and Compliance IssuesLack of knowledge or disregard for landlord-tenant laws and regulations can expose investors to costly legal disputes and penalties.Failure to properly handle security deposits, evictions, or fair housing practices can result in significant financial liabilities.Ineffective Financial ManagementInaccurate budgeting, expense tracking, and financial reporting can lead to uninformed decision-making and missed opportunities for cost savings.Failure to optimize tax strategies and leverage available deductions can further reduce net returns.Diminished Property ValueInadequate maintenance, high vacancy rates, and poor tenant screening can negatively impact a property’s perceived value and appreciation potential.This can significantly affect the long-term return on investment when it comes time to sell the asset.While a 10% management fee may seem reasonable for a well-performing property manager, the cumulative impact of mismanagement can quickly escalate the effective cost to investors, potentially outweighing any perceived savings on the management fee itself.
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2 June 2024 | 2 replies
you can do anything, there is zero benefit in doing this. a LLC is a disregarded entity for tax purposes so essentially you are renting it to yourself so its a net zero.
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1 June 2024 | 3 replies
The transfer should be a credit to the bank account, but the debit should be to Loan Payable for the principal amount and interest, and the rest to insurance and taxes.The LLC is a disregarded entity for IRS purposes and uses the owner's Social Security number to report on Schedule E, page one.
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31 May 2024 | 6 replies
This of course can be disregarded if it’s an $800k-$1.2m 3% loan but I still think in you’re flushing a lot of the pop-top expansion.
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29 May 2024 | 2 replies
If the trust is what is called a "disregarded entity" (meaning it does not have it's own TIN and does not file a tax return) then the activity of that property is reported on your personal tax return.
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29 May 2024 | 2 replies
@Logan Kannes, if that LLC is also taxed as a sole proprietor then it is what is called a "disregarded entity".
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28 May 2024 | 42 replies
The owner, disregarding the hidden damage said, he had spent twice hat was quoted to rehab the property and was finished at that point plus, wanted money refunded to him.