All Forum Posts by: Anthony Alvarez
Anthony Alvarez has started 1 posts and replied 2 times.
Post: I Inherited Properties! How do I start? LLC? HELOC? CPA?
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Quote from @Henry Clark:
As @Taylor L. mentioned you should sit tight for a year. Let the situation settle, before taking any financial actions. Unless you own the lots where the trailers are , I would also recommend selling them. If you own the lots keep them. The lot rental is where the income is in mobile homes.
Sorry for your fathers loss, but because of that here are some thoughts. Your brother and you are in the wealth accumulation stage. Your mother is probably at the beginning of the protection stage. Don’t know your families situation. Either way recommend you don’t tie her to you and your brothers financial decisions.
If you're going to keep property with your brother recommend you do that within an LLC. They will have Operating agreements to address whatever you want. You need to understand one of you will get divorced or married. There might be a death. One of you might choose to go a different route. Set up the operating agreement to decide how to get out. Don't do that later. What if one of you is in a wreck or coma? Make the operating agreements to address these life situations.
Talk with your tax accountant. If your mother or whoever owns the house has lived there 2 years as their primary residence out of 5 you pay no taxes. Also talk with your tax accountant about stepped up basis on the mobile homes and land for your fathers portion. Recommend you capture that value now versus later.
On the two pieces of land please describe. There is a lot you can do with land.
Great job saving up the cash. That habit is more important than anything you can learn on BP.
One Land is a vacant commercial lot and the other is a vacant waterfront lot
Post: I Inherited Properties! How do I start? LLC? HELOC? CPA?
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Hey Everyone I'm 24 years old trying to figure out REI. I figured after searching through forums on BP I'd ask some of my personal questions.
My father passed away unexpectedly and my mother, brother, and I inherited the properties. (Some People Suggest Not To Invest With Family Members But My Brother and I know Our Goals) The properties consist of 2 land properties, 5 mobile homes, and 1 house. Everything is paid off.
My Goal is to take on my mothers expenses and getting her a new SUV with these properties. I love how versatile REI and would love to grow this family portfolio. House hacking best suits my personality but would love to branch into BRRRR
One idea my brother suggested is to quit claim the properties onto a LLC have the reported rental income pay us back at the end of the year.
I had an idea on opening a HELOC from my mothers primary residence (House) and using the credit on repair cost on the 5 mobile homes and rent them at fair market price. Have those rental homes pay back the HELOC.
I'm also very new to all this such as dealing with upcoming tenants and becoming a landlord especially on how to do taxes in rental income and how to provide the income gains and expenses. What are the best ways to keep up with it with or without a CPA? If i choose to go with a CPA i would love to make it easier on them when tax season come around.
I work at a beach service job that shows my income (I've just been there for 18 months) I have 15,000 in liquid cash
Getting loans is difficult for homes when i need to show at least 2 years worth of income and i want to know how i can use these properties to show net income and help show more income than just a w2.
Any Advice is greatly appreciated.