Tim Johnson
Is Real Estate the best way to reduce your taxes?
18 January 2025 | 5 replies
The absolute best way to avoid taxes is not earn income.
Richard Volkov
Could This Be a New Way to Invest in Real Estate Without Buying the Whole Property?
19 January 2025 | 47 replies
$1 lent for $10 of income?
Mark Gomez
Rent vs Sell a paid off home
24 January 2025 | 9 replies
Quote from @Diyan Yap: Have you thought about AirBnB, they can visit/stay with you while they rent it and earn income.
Victor Yang
Taking a small loss to save on taxes?
19 January 2025 | 7 replies
@Victor Yang To use the rental losses to offset any active income (W2), you'd have meet Real Estate Professional status (which would be difficult to do with a W2 job because you'd have to work more on real estate than any other job to qualify) OR have an AGI of $150K or less.
Tre DeBraga
FHA 203K Loan
22 January 2025 | 4 replies
One thing to be aware of is the FHA multifamily self-sufficiency calculation which determines if a property can generate enough rental income to cover its mortgage payments.
Brandon Stelling
Military Vet investors 100% disability benifits
20 January 2025 | 7 replies
I Income: The amount of property you can buy will be dependent on your Debt to Income ratio.
Tyler Edens
House Hacking Budgeting
20 January 2025 | 4 replies
That said, even with conservative rental income estimates, my living expenses would eventually drop to several hundred dollars less than what I’m currently paying in rent once the house hack starts generating income.I do have cash reserves to weather some rough patches, but the idea of pushing my budget this hard makes me uneasy.
Courtney Dettlinger
Should I use home equity loan & how
22 January 2025 | 1 reply
This creates two loan payments ($100,000 of equity and $300,000 on the new mortgage).Key NumbersHome Equity Loan Interest Rate: 6%Mortgage Interest Rate: 7%Rental Income: $3,000 per monthExpenses (management, taxes, insurance, maintenance): $800 per monthIncome and ExpensesMonthly Rental Income: $3,000Monthly Expenses: $800Monthly Mortgage Payment: $2,000ExplanationThe investor earns $3,000 in rent each month.They pay $2,000 on the investment property mortgage and $800 on other expenses.This leaves $200 profit each month or $2,400 per year.However, you have to pay $6,000 interest on the equity borrowed.This leaves you with an annual loss of $3,600.While the rental property generates positive monthly income, the interest cost of borrowing the initial $100,000 results in an overall loss.
Muhammad Kashif
Best way to optimize taxes for new construction of investment property (for flip)
20 January 2025 | 3 replies
@Muhammad Kashif Flipping a property in 6–9 months results in short-term capital gains, taxed as ordinary income (up to 37% federally, plus NJ state taxes up to 10.75%).
Geoff McFarlane
Sell our home or rent it out?
20 January 2025 | 7 replies
Your income isn't high enough for it to make sense as a rental and the closer you get to your residence limit the greater pressure you will have to sell it before losing your exclusion in whole or part. 500k right now can make $15k per year income with zero maintenance or tenant risks.