Wondering if anyone has any good accountant recommendations that are either local to Chicago or maybe more national. I live in Chicago and am in the process of closing on a duplex in OH in the next week or so.
Any recommendation would be greatly appreciated!
@Andrew Dudun are you planning to build your portfolio out of state? With just one duplex, you may not need a ton of help yet and most decent accountants could help you with this. I can PM you the one I use as they work remotely.
@John Warren I will be looking to buy more properties out of state in the future. I may also be looking to buy a house hack next year in the city of Chicago actually so I would love to reach out to you about that when the time comes!
Sent you a message.
@Andrew Dudun I can recommend @Aaron Zimmerman . He does both out of state and IL, and is also an investor himself.
I have a great CPA who is very cheap $350-400 feel free to shoot me a PM for the contact.
House hacking makes your tax situation more complex.
You purchased a property that is treated as both an investment property and a personal residence. As such, payments that you make need to be prorated between business deductions and personal deductions.
Payments that you make normally fall into one of 3 buckets
100% of the payment can be factored in somewhere on the return
Partial payment can be factored somewhere on the return
0% of the payment can be factored in somewhere on the return
House-hacking also has considerable tax implications in the event that you want to sell this property.
You can potentially defer a portion or all of the gain on the investment property with 1031 exclusion.
You can potentially exclude a portion or all of the gain on the personal residence with section 121 exclusion
Basit, I'll take that into consideration when I end up getting the house hack next year.
Thanks for the recommendations, everyone!
@Andrew Dudun super important, right.
I switched from one accountant 1 year ago, and LOVE who we've partnered with since.
Desmond & Ahern in Chicago, Pat is the man!
What are you looking for specifically?
Thanks for the suggestion, @Bob Wilson ! I have already found an accountant through one of the suggestions but thank you for your input!
@John Warren please PM me your accountant recommendation as well