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12 January 2025 | 8 replies
Note: Florida charges a hefty tax on rentals under 6 months.
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8 January 2025 | 9 replies
Be mindful of short-term capital gains tax, as profits from flips held for less than a year are taxed as ordinary income, and frequent flipping may result in self-employment taxes.While profits from flips do not qualify for 1031 exchanges (since flips are considered inventory, not investment properties), you can minimize your tax burden by deducting allowable expenses like renovation costs, loan interest, and holding expenses.If you're considering diversifying into rentals, explore opportunities to benefit from long-term tax advantages such as depreciation and lower long-term capital gains rates.
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14 January 2025 | 18 replies
For example, could I use my SDIRA to operate a management company that charges my holding LLCs a management fee?
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11 January 2025 | 9 replies
It may sound nice to pay a 6% management fee but the extra fees can add up to be more than the other company that charges 10% with no additional fees.
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3 January 2025 | 1 reply
It'll be easier to manage and you could have less frequent turnover.
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11 January 2025 | 13 replies
One thing I am curious of - typically many of the hard money lenders will charge a 1-3 year pre-payment penalty in these types of scenarios unless your client paid points to not have that pre-payment penalty.
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14 January 2025 | 15 replies
Legitimate lenders may charge a small application fee (around $250) to verify you’re serious, but if someone’s asking for thousands with no real intention of closing, that’s a huge red flag.On a more positive note, there are creative financing approaches out there.
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16 January 2025 | 1 reply
My absolute best advice with ANY STR prospecting is to contact the municipality in charge of regulating that area of region.
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11 January 2025 | 20 replies
What are they charging per night?
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13 January 2025 | 15 replies
An appraisal fee in advance for an actual appraisal is legitimate, but you can find lenders that don't require appraisals and don't charge appraisal fees.