This client chose not to use our services and instead, tried to self-manage their primary.

Beal Real Estate helps our clients find the best commercial and residential off market and listed deals available.

However, Form 3115 is still the best way to claim past depreciation in full.This post does not create a CPA-Client relationship.

Hey Jackie, my partner in builds them in the greater LA area and has clients he can likely connect you to to share their experiences with ADU builds on single family lots.What I will say is that, per the math investing around $200,000 in an ADU that is around 450sqft 1Bed 1.5 bath can rent close to $1800+ in the area.

Both partners should consult a CPA to evaluate potential savings and optimize their tax strategy.This post does not create a CPA-Client relationship.

My clients are able to find pretty nice cash flow! 

but i also 2nd @Jay Hurst's sentiments - get a 2nd or even 3rd opinion on DTI/ full doc. i personally love files that are puzzles, i get some weird satisfaction out of figuring out how to make it work on full-doc, especially when my client has been told "no" before. if it doesn't work now, a good loan professional will help you create a path forward.

Consulting a tax professional now can help structure ownership and financing efficiently, ensuring you take full advantage of deductions, depreciation, and potential tax-saving strategies like 1031 exchanges in the future.This post does not create a CPA-Client relationship.

I have a basic spreadsheet built for clients that I'm happy to share for free.

However, purchasing the replacement property from an estate where your mother-in-law is the executor and other heirs are your wife's aunts and cousins raises potential related-party concerns under Section 1031(f).The IRS generally prohibits 1031 exchanges between related parties unless both the buyer and seller hold their respective properties for at least two years after the exchange.To stay compliant and avoid disqualification, ensure:The estate sells the property directly before any distributions to heirs.You hold the replacement property for at least two years.The transaction is conducted at fair market value with no prearranged agreements.Given the IRS scrutiny of related-party 1031 exchanges, consult a qualified CPA or 1031 exchange accommodator to structure the deal properly and avoid potential capital gains tax liabilities.This post does not create a CPA-Client relationship.