Tax strategy for flip

[Jonah Slove]

Hi y'all and here's to 2026!

I recently locked up my best deal yet. I have a flip that I am expecting to NET $120k if I were to re-list immediately. I want to explore all options and decide what to do with this deal. Here are a few ideas I am considering to decrease my tax liability..I have a CPA that I am meeting next week but they do not specialize in RE. 

1. Use another one of my LLCs that files as an S corp to reduce (or eliminate?) SE tax.

2. Hold for a year to then be treated as capital gains tax opposed to my ordinary income bracketed earnings + SE. This would break even as a rental but likely to continue to appreciate.

-3. Transition about 150k that is in an inherited IRA to a SDIRA and use these funds as an equity partner to grow the % ownership and proceeds tax deferred. I will consult a custodian and make sure to follow guidelines to pull this off legally.

4. Combination of options 1 and 3?

Let me know what you think. Thanks!

[Aaron Zimmerman]

I'd recommend getting a real estate cpa and talking this situation over with them before making any taxable consequences.