Mohammed Quadeer
long term carryover loss to offset depreciation recapture
- Purchased strip mall in 3/2003 in Chicago, IL for $4,800K- Sold it in 11/2017 for $4,660K- Closing costs for purchase/sale $600K- Capital improvements $300K- Total depreciation claimed over the years $2,300K- H...
Andrew Agosto
Buying Rental Property from Mom
My mom is retired. She took over a few rental properties when my father died and it's been a nice source of income for her since they are paid off. However, she has expressed interest in being done with the landlord t...
Jimmy Bell
Can someone please explain
First, depreciation is a short-term benefit. It puts extra money in your pocket every year while you own the property. But, when a property is sold, previous depreciation deductions taken from the property will have...
Blake B.
Participating in REI w/out filing 1040
*Note: this post is intended for investors who actively DO NOT automatically file a 1040 every year, unless they've incurred a tax liability.I'm wondering what difficulties investors who understand (have read the pert...
Brian Zebrick
Purchasing land to offset active income
Land cannot be depreciated, but if you are purchasing raw land in order to build a commercial unit, can that be categorized as a business "expense" to minimize profits and tax liabilities?If I have a current business,...
Supreet Singh Sachdeva
Cap Rate after income tax
I am a first time house buyer. 3 of us just made a LLC and are planning to buy our first rental property. I contacted an agent about a property and got a cashflow analysis worksheet from him. So, the property is f...
Alex T.
Quarterly LLC Payments
I have an LLC that was started in 2017 for my first flip. The LLC generated no taxable income in 2017, but of course, we still filed a return. We sold the flip property in 2018 for a profit. Was I supposed to be payin...
Jackson Tate
Strategies for Taxes on Long Term Sale?
My dad is going to be selling his home soon, a house he has lived in for almost 40 years. He will more than likely be able to sell it for close to $2M, and his basis is probably around 500k. This sale is what is going...
Arnaud Petel
Use of tax deductions on your personal income
Hi all,I am starting my real estate investment journey and am trying to understand the impact of tax deductions. Based on my calculations my first rental property will not be profitable from a tax standpoint after all...
Philip Levi
First Refinance on the horizon
Hello all. I am a new real estate investor and I have just completed a renovation on my first property. It's just about time to refinance to find another property.
I have several questions.
1.)Who should I refinanc...