Investor 路 Lakeland, FL 路 Member since 2016 路 105 posts 路 61 votes
Here are some before and after pictures of my current project.. Interior is basically done and I still need to paint and do some minor exterior work. Will also replace the windows and do some landscaping.. Got a steal on this house.. May make over $100k profit when I will flip it this coming year. House is in Davenport, FL, 20 minutes to Disney.. Doing all the work myself. I'm not a contractor but have a background in electrical engineering and also know to do plumbing, tiling, framing etc. etc.. On this project, it was a complete tear down and rebuild of the interior. Nothing there was usable.. Lots of electiric and plumbing issues.. Nothing expensive to fix as I did it myself but time consuming. Also converted the 280 sq/ft addition into a 4th bedroom and added central AC to it (wall AC in that room only). Installed new AC and new filtration system (house is on a shared commercial well). House is 1695 sq/ft with a 2 car garage (converted 2 car carport) on 3/4 acre of land.
First the before pics.. Will post the after pictures in a moment
Never mind. I posted before your second post. Looks very good. Is it for rent or flip?
Originally, I was planning on renting it but as Tax Reform appears to be passing and Rental Income will be subject to Self Employment taxes, I prefer to flip it..
only things that I did NOT do myself was the stucco, drywall finishing (I hand the drywall myself but have someone finish it) as also the new Central AC (attic air handler)
Great job. I love these type projects but I follow the " why eat lamb today when you can sell wool for years" idea and keep them for rentals.
Again, GREAT JOB
I have been a landlord for years and was actually thinking of doing the Home flipping/landlord thing full time as I created a big enough capital base so that I don't need my job... However, once I stop working my regular job, I will have to pay almost 40% in taxes on rental income due to the changes in Tax reform to make rental income subject to Self Employment taxes. If my tax rate is 25%, my rental income will now be taxed at 40%.. I don't want to give almost half to Uncle Sam.. If I flip it's either 20 - 25% (my regular tax rate) or 15% for long term capital gains if I hold the house over a year.. I refuse to pay over 25% on anything.. My tax rate is low as I have 2 little kids and my wife does not work... If I was single I would be in a much higher tax bracket..
I still have rentals but whenever a tenant leaves, I will sell my other rentals too if tax reform passes.. I don't like to cheat on my taxes, and I won't pay 40% on rental profit.. I rather pay 15% capital gains.. than 40% tax on rental profit..
wow!!! but tell me something this gonna be your residential right? excellent job wish I be your tenant
Not my primary.. I bought it as a rental but due to tax reform likely passing, I will flip the house instead.. Tax reform adds additional 15.2 percent in taxes on rental income, bringing the effective rate to 40 percent tax on my rental income.. That is too much.. I rather flip and pay 15 percent capital gains tax..