Real Estate Accounting Practices

[Doolan Wesley]

Hey everyone,

So I'm just finishing "The Book On Tax Strategies for the Savvy Real Estate Investor." It's a good book on real estate tax strategies for investors to implement into their daily lives. Has anyone else read this book?

How many accountants are truly recommending using IRAs to purchase real estate? I used the Cares Act as an excuse to take a large loan out of my Roth IRA to purchase and fund a fix and flip property recently, but this idea seemed kind of foreign to my specialist. How many of your use self directed IRAs to fund your deals?

I'd like to see how common using a self directed IRA is, and hear from CPAs regarding other commonly missed deductions that many of us should be taking annually?

Doolan

[Michael Plaks]

@Doolan Wesley

"Common" is a lousy indicator to follow. Eating at McDonalds is very common, and having a 800+ credit score is the opposite.

Accountants specializing in real estate, and there're 20+ of us here on this forum, generally endorse self-directed retirement accounts and investing them in real estate. However, everything is case by case and depends on one's current situation and future goals.

Buying rental properties inside SDIRAs is usually not the most efficient application. Rental properties enjoy powerful tax benefits as is, and acquiring them inside an SDIRA diminishes or eliminates these benefits. On the other hand, SDIRAs are typically excellent for investing in syndications, notes and for private lending, among other options.