CPA, Finacial Advisor, or both?

[Katlin H.]

Hello guys! Like many others I am new to real estate investing and after circling the pool for over a year, I finally jumped in. I’m in contract for 2 OOS properties and looking at 3 others at this time. One big concern I have is if a financial planner is necessary as well as a CPA, or if the CPA can cover all the bases. I am living in the Sacramento area, yet not familiar at all. I tend to go to work and go home 98% of the time. My properties are in my home state. Does anyone have experience with either a real estate guided CPA or financial planner? I’m pretty good about watching and keeping up with my own money, yet no good with projections or other options for investing. Please share and advise on your experiences. Thanks in advance, Katlin

[Paul Allen]

As a financial planner I will tell you with a high level of confidence that if you are looking for help with your real estate investing, you will get much more value from a real estate knowledgeable tax professional than a financial planner. @Linda Weygant and @Michael Plaks have explained why. 

Point of clarification, though: If you want a financial planner (we are good for SOME things!), then you want a "fee-only" financial planner. "Fee-based" financial planners will charge both fees and commissions. (Commissions mean they have an economic interest in selling their clients specific products - which can taint the advice they give.). "Fee-only" financial planners do not receive any commissions or referral fees. It's still not perfect, but it's the best fee structure out there for clients.

Best of Luck with Your Real Estate Investing!