My tenant texted to let me know there was a domestic disturbance and her boyfriend destroyed the house.  

I've also read about Doorvest, and they are trying to make buying a rental property similar to buying a stock with a broker.

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Bonus depreciation is just a special part of the US tax code.It allows you to take accelerated depreciation on portions of your property depending on when an asset is put into service.At the time of this writing, you can write off a huge portion (60% in 2024) of many qualified components that have a useful lifespan of 15 years or less.That means a certain percentage of things like landscaping, sidewalks, latches, appliances, fences, certain flooring, etc is depreciable in year 1.The bonus depreciation rate percentage changes yearly depending on the administration and the tax code.For years 2015 through 2017 first-year depreciation for all the items on a 15-year schedule or less was set to 50%.It was scheduled to go down to 40% in 2018 and 30% in 2019 and then 0% in 2020.But then Trump got elected, and he enacted the Tax Cuts and Jobs Act.That moved the bonus depreciation percentage to 100% from 2017 to 2022.In 2023 it went down to 80% and it’s currently at 60%.Depending on who gets elected again, 100% may be back on the table.Only time will tell.We know that the US government wants to incentivize more development and ownership of RE.They want Americans to continue to build and maintain our physical world.That’s why real estate is one of the most tax-advantaged assets in the US.Depreciation and bonus depreciation for RE are very positive and will likely continue in the years ahead.

How did you add value to the deal?

Non-payment of rent is always the path of least resistance to get someone out in a somewhat timely manner.

I would put it on craigslist and FB to see if anyone wants it for free.Otherwise call a junk removal or abandoned car removal service. 

Willard,FHA has taken a bad rap over the years but to be honest it’s a great loan for anyone looking to use the banks money and keep your cash in the savings.

Will you look to upgrade the property and then refi in the future?

Close to University, hospitals and Waikīkī How did you find this deal and how did you negotiate it?