Assembly Bill 1771, also known as the California Housing Speculation Act, aims to change real estate tax policy to discourage investors from quickly reselling properties like single-family homes.Under the proposed bill, an additional 25% tax would be imposed on the gain from the sale of a qualified asset (including homes) within three years of the previous sale.The tax reduction is dependent on the number of years passed since the initial purchase of the qualified asset, ranging from a 20% reduction for sales occurring between 3.01 to 4 years to a 100% reduction for sales occurring more than seven years after the initial purchase.The revenues generated by this tax increase would be deposited into the Speculation Recapture Community Reinvestment Fund, which aims to support affordable housing, local governments, schools, and infrastructure projects.The bill is introduced by Assembly Member Ward, and the proposed tax changes would take effect from January 1, 2023.Assembly Member Ward argues that short-term investors in the market, including fix and flip investors, contribute to rising housing prices, limiting opportunities for Californians to purchase homes.While the bill may discourage short-term speculative transactions, it is worth noting that California's tax laws still provide certain advantages for investors, including unlimited tax write-offs and depreciation benefits.The bill is subject to legislative approval, and Assembly Member Ward will speak publicly about the bill at the San Diego County Administration Center on a specified date.Please note that this is a simplified summary of the bill and its potential impact on fix and flip investors.

I am from the Philippines, but I currently reside in Las Vegas.

I do fix and flips and take the money to invest as a General Partner on a syndication team.

I wanted to partner with some of my mentors so I could learn more about new construction without taking on all of the risks by myself.

I want to minimally renovate the master bathroom and kitchen in the condo we just bought. 1.

What would be the best use or strategy with a 75K HELOC to fund an investment property? 

Current landlord couldn't pay the upgrades so we offered to do the upgrades until the sale was final and not pay any rent in the process.

Haven't found much resources on how to structure the deal whether to buy out partner's shares at existing basis (I believe this wouldn't be advantageous as I wouldn't get to mark the asset to market and lose out on depreciation) or open new LLC or S-Corp and buy out both partners (I would end up taking gain tax due to sale but would get new dep. basis).

We have set up filters and find some pre-foreclosure and foreclosure properties in our area which we want to look further. 

Not only did we receive significant tax reductions, but the mere act of challenging the assessment locks the valuation in for three years.I'm PMing you with the contact information for the company that helped us in Atlanta!