Immediate goal is to a) purchase 1st property by end of Jan, 2014, b) complete rehab within 30-60 days, and c) close sale within 30-60 days of completing rehab.

Originally posted by Paul C.: I've been reading IRS Publication 527 to better understand the tax accounting for rental properties.

For mid-size+ commercial properties it is common to "incorporate the property" (i.e. create a company whose only asset is the property).Roy,*Ignoring land value here.I will begin with a 100k property bought in a C-corp.If you depreciate it for 15 years. you are looking at about 50k in depreciation taken.

We all conserve energy by only using the lights in the common area when needed and turn off the a/c and heat once the last person leaves for the evening.

The first is an older home located in a B/C area of downtown Atlanta (Kirkwood).

Wish you the best of luck.Also, there was a previous podcast with a buy and hold investor that works in C areas.

Originally posted by @Tim C.: Hey Matthew, have you had any issues with it cracking or the compound coming off?

By comparison, there are number of prominent REIT's who specialize in and making very nice returns on distressed assets and Class-C malls in tiny markets.

Welcome to BP @Alejandro C.

That means the TP would have a debt basis in a pass through entity; however, if a C-corp is used it would be a capital contribution and still leaves issues that are beyond the scope of this post.