Hey everyone, this page is now dedicated to combing my love for real estate and tax accounting. If you are a member on this page. I will be creating a discussion group specifically for questions about Accounting questions. Yes, that’s right. You now all have easy access to someone who will answer all your questions regarding… - Tax Benefits / strategies / Accounting - New updates regarding Tax Law - Entity formation / Partnership / S-Corp / C-Corp - Real Estate Record Keeping - For an additional services, we can have a private chat as well. I’m looking forward to assisting you grow your portfolios in the most cost effective way! There will also be a course opened soon regarding the most beneficial tax techniques used by investors.

My partner and I sold one of our long term rentals which we owned for 2 years. It rented for 1,500/month in a college town with the details below: Purchase price: 85,000 (6k down) Rehab: 4,500 (cash) Sales Price: 125,000 Sales Cost: (2,596) NET Profit: $32,900 Profit & Equity: $45,700(what we recieved) Upon closing, the same day, we bought these two properties for a total combined purchase price of 164,000, we used the funds from the sale of our original property as the down payment for these two and had over 7k left over that was deposited in our bank account! These properties combined rent for 2,200/ month. Genius idea: When you purchase two properties from the same seller, put them under one loan. So when you sell one of the properties, you don’t have to pay the loan off because it’s still secured by the other property! Pretty neat we traded 1 house that rented for 1,500/month for 2 houses that rent for a total 2,200/ month and GOT PAID +7k to do it.

We have owned this house for about 3 years, and the renter finally moved out. We will be remodeling it completely and raising rents substantially! Here is our vision for it! We bought this house for $41,900. Something we did to save us cash in pocket…. When we bought the property, we actually increased the purchase price and had the seller pay for a new roof. That way we could throw it on top of a loan instead of paying for the roof cash out of pocket.

Last December, we bought 506 maple st. through direct mail marketing for 22,000. We remodeled the house completely for an additional 122,000, which we completed using our own cash. We turned it into a 3 bed 1 bath. We put it on the market and it went pending in just 3 days. Purchase price: 22,000 Rehab: 122,000 Holding cost: 0.00 Total Cost. 144,000 Sale price: 200,000 Selling cost (13,500) NET Profit: $42,500 Tax Benefit: We made sure to hold this property for a minimum of 1 year so it would be treated as LTCG, which means most of the profit will be taxed at 0% and a little at 15% for federal, and 0% for state. We are currently looking for a 1031 exchange property so we can defer all taxes! Reach out to learn more about the tax strategy, or ask us what things cost to complete a remodel!

After many phone calls in order to find fair contractors, we have finally finished the exterior of our first remodel and couldn’t be more thrilled! Here are some before and after photos… Work: New roof New gutters New woodwork New windows New paint