5 October 2016 | 20 replies
The 2% rule shows me that I am only at 1%, but I know that could vary with the area you are in.
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30 September 2016 | 36 replies
In terms of purchase price, I just want to (almost) make the 1% rule.
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10 October 2016 | 4 replies
A personal goal of mine is to flip at least five properties before we move and/or have a few rental properties to start creating cash flow.
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6 June 2017 | 41 replies
Should be easy to grab an outside table with a small group and we can then talk about creating a meetup and the next steps.
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29 September 2016 | 5 replies
There are many pitfalls of creating leases with specific damage provisions.
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11 November 2016 | 7 replies
You may also want to consider an IRA LLC or a Solo 401k.Following are the similarities and differences between the solo 401k and the self-directed IRA.The Self-Directed IRA and Solo 401k Similarities Both were created by congress for individuals to save for retirement;Both may be invested in alternative investments such as real estate, precious metals tax liens, promissory notes, private company shares, and stocks and mutual funds, to name a few;Both allow for Roth contributions;Both are subject to prohibited transaction rules;Both are subject to federal taxes at time of distribution;Both allow for checkbook control for placing alternative investments;Both may be invested in annuities;Both are protected from creditors;Both allow for nondeductible contributions andBoth are prohibited from investing in assets listed under I.R.C. 408(m).The Self-Directed IRA and Solo 401k DifferencesIn order to open a solo 401k, self-employment, whether on a part-time or full-time basis, is required;To open a self-directed IRA, self-employment income is not required;In order to gain IRA checkbook control over the self-directed IRA funds, a limited liability company (IRA LLC) must be utilized;The solo 401k allows for checkbook control from the onset;The solo 401k allows for personal loan known as a solo 401k loan;It is prohibited to borrow from your IRA;The Solo 401k may be invested in life insurance;The self-directed IRA may not be invested in life insurance;The solo 401k allow for high contribution amounts (for 2016; the solo 401k contribution limit is $53,000, whereas the self-directed IRA contribution limit is $5,500);The solo 401k business owner can serve as trustee of the solo 401k;The self-directed IRA participant/owner may not serve as trustee or custodian of her IRA; instead, a trust company or bank institution is required;When distributions commence from the solo 401k a mandatory 20% of federal taxes must be withheld from each distribution and submitted electronically to the IRS by the 15th of the month following the date of each distribution;Rollovers and/or transfers from IRAs or qualified plans (e.g., former employer 401k) to a solo 401k are not reported on Form 5498, but rather on Form 5500-EZ, but only if the air market value of the solo 401k exceeds $250K as of the end of the plan year (generally 12/31);When funds are rolled over or transferred from an IRA or 401k to a self-directed IRA, the amount deposited into the self-directed IRA is reported on Form 5498 by the receiving self-directed IRA custodian by May of the year following the rollover/transfer.Rollovers (provided the 60 day rollover window is satisfied) from an IRA to a Solo 401k or self-directed IRA are reported on lines 15a and 15b of Form 1040;Pre-tax IRA contributions on reported on line 32 of Form 1040;Pre-tax solo 401k contributions are reported on line 28 of Form 1040;Roth solo 401k funds are subject to RMDs;A Roth 401k may be transferred to a Roth IRA (Note that from a planning perspective, it may be advantageous to transfer Roth Solo 401k funds to a Roth IRA before turning age 70 ½ in order to escape the Roth RMD requirement applicable to Roth 401k contributions including Roth Solo 401k contributions and earnings.)
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30 September 2016 | 15 replies
This is key if you have another job because time is money.Best of luck in your endeavor and if your husband has his license, I'd recommend not getting a license. 1) You don't have to deal with all the rules and regulations that your husband might be held to. 2) you have access to the MLS through him.
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29 September 2016 | 1 reply
It appears we can easily get the 1% rule out of SFR rentals (I haven't seen any duplexes in that county) in that area.3.)
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29 September 2016 | 11 replies
I use a set of conservative or semi-conservative rules that should keep me out of trouble if the market turns against me.
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28 September 2016 | 1 reply
Do I take the issue up during contingency, or is creating these new rules a right I have as the owner, provided that I follow the lease?