(Note its typically reduced by the percentage, so as an example if you pay 90% - $90k for a $100k loan, and the UPB was reduced by $1,000 - you get a $900 deduction not the full $1,000).But let's take a deeper dive into a LSA and some of the key areas - Specifically the section called "Representations, Warranties & Convenants" For both the buyer and seller. 

There are so many homes that have been built over 40 years ago.

My parents are not paying me as a property manager and I don't want to be paid because I don't want to deal with California state income taxes or other additional tax burdens (and more so, because they are my parents).

👇So far, Dave has hosted live workshops packed with his latest data insights on the following topics:  ✅ February: Picking a Market for your First (or Next) Real Estate Investment✅ March: How Do Mortgage Rates Work, and Where Are They Going?

There's so much I could say, but I'd just rather not relive it.

So to answer the question, who knows.

With the lower LTVs offered by senior lenders these days, it may be tempting to look at preferred equity and it may make sense since technically it is cheaper than LP equity, but also keep in mind they have a higher liquidation preference (obviously) but will often want all the cashflow (or a majority of it) to come to them before the LP investors and will also want large reserves, so make sure you model out the cashflows and understand the end-to-end deal with the preferred equity investors.We have some institutional investors with whom we did a combination of a pref and JV deal and it worked quite well for everyone including them and the LP investors.

So, for example Washington might survey a 1 million acre estate, offer to purchase 550 premium acres (or accept such as payment for his services) and “bank” those 550 acres for future development. 

@Mesturah ShittuIt's fantastic to hear about your success in real estate so far, growing your portfolio to 10 units and $5.5M in such a short time.

The tax advantages of buying/holding gas stations are pretty great.Many of the components of gas stations including pumps, tanks, external parking areas, and other equipment are classified as either 5 or 15 year property so you can bonus depreciate a lot of it (minus the land value) and get significant deductions in year 1.With the current bonus depreciation rate at 60%, a $1 million gas station acquisition could still lead to $100K+ in year 1 deductions depending on the specifics of your deal.