The 5-year rule related to Roth conversions (different than the 5-year rule that applies to earnings) determines whether or not the conversion PRINCIPAL will be PENALTY free (the converted amount is NOT taxed “again”).Check this out for more detail than you ever wanted: https://www.kitces.com/blog/un...Thanks for clarifying, with the 5 year rule, withdrawing principal within the 5 years will result in penalty (not tax as I said in my post).

Especially, when he may not owe any Federal or State Tax as a result of the purchase and if his tax pro knew how to leverage the tax benefits available.

Since you are using leverage inside of an IRA, some of the income will be considered Unrelated Business Taxable Income (UBTI) and therefore will be subject to UBIT (Unrelated Business Income Tax). As

I have multifamily properties in Philly and Jenkintown in PA + São Paulo in Brazil.

Here in FLL the bigger homes do better, as they cater to larger groups.Also, I see you break out the occupancy tax as a line item.

When a builder has to pay a school impact tax, a water sewer fee, permits, build to specific specifications….

This is unlikely to occur even though it would mean tax relief on our annual property tax, as many of us enjoy the fact that there’s no income tax.Reason Number Two – Property Values are on the IncreaseProperty Value IncreaseHow Are Property Taxes Calculated in Texas in Relation to Property Values?

seems to me a TK company would be better suited to give a range of rent  say low side 750 high side 825.. so investors can run their own numbers at the low side or conservative estimate or the high side  ( blue sky) I think if they give a fixed number and you know investors.IE you said 800 and you got 790  and they flip out on you LOLseems to me the OP is in Texas there are Plenty of rental houses there to buy.. and since your in a state with no income tax you can afford the higher property tax as compared to other areas of the US>

This is how most operate.Most operate as sole proprietors until they have completed deals since most of the income is subject to self employment tax as it is from person services.

@Jaime Chandler just be cautious as some of these multifamily properties can be tied to commercial real estate tax as oppose to residential real estate taxes.