All Forum Posts by: Asish Balu

Hello Philly Biggerpockets,

I own a rental property in Baltimore and looking for my next buy and hold in Philly.
Doing initial research now. Goal is B to A- neighborhoods with solid rents and potential for appreciation.

My #1 neighborhood right now is Port Richmond.

The 1% rule is not required (is that even possible anymore?). I'm not looking for gut renos, but could do small cosmetic upgrades/fixes.

Budget: 300-500k ARV

Hello Philly Investors!

I own two rental properties in Baltimore, and I'm looking for BRRRR opportunities around the philly area.

Is the market around philly too expensive for BRRRRs? If not, what neighborhoods are you targeting? 

Im aiming for properties in the 200-250k range.

Hello! I'm looking to invest in short term rental property in the Wildwood, NJ area. Looking for properties in the 100-150k range.

Any recommendations for knowledgeable agents in the area?

Most of the house hacking related posts are asking for multifamily housing... but I'm fine living with roommates (I'm house hacking right now in Baltimore).

What are some good neighborhoods for purchasing a single family home to rent out in philly? Looking for B neighborhoods with rent/price ratios around 0.8% at the minimum and a purchase price of 200k max if that's possible. 

Thank you!

@Eamonn McElroy

Thanks for the insight. I imagine that taxes will only get more complicated as my portfolio grows, so I agree that forming a long term relationship with a CPA is beneficial to both parties.

Thanks for the response. I'll hire a cpa and learn all the details... next time Ill attempt to do it on my own

Since tax season is coming up in a couple months, I want to make sure I understand my optimal tax strategy.

I will be claiming the standard deduction (12K) on my personal tax filings. No way I can match this amount with itemized deductions.

I am renting out one bedroom of my 2b1b, which means I can deduct half of my business expenses. I started renting the room Aug 18th last year and made $2750 total. These are my itemized business deductions:

Chimney Fix - 2250 / 2 = 1125

Water Heater - 1640 / 2 = 820

Dryer - 900 / 2 = 450

Property Taxes (5 months) - 1000 / 2 = 500

Mortgage Interest (5 months) - 2000 / 2 = 1000

Total deduction = 3895

Therefore could I claim a loss of ($2750 - $3895) = $1145?

And on a side note, is it worth getting a CPA for my house hacking situation or is it simple enough for TurboTax? 

Thank You!

Good news, I talked to my agent. Turns out the seller is paying 2.5% of the 3% commission, so I only have to pay the remaining 0.5%. 

Today, I learned that seller assist is separate from "Buyer agency commission paid by seller". Even though I asked for zero seller help, they still paid for some of my agent commission since that was part of the MLS listing.

Makes sense. My mistake was believing that when people said closing costs are about 5-6%, it included everything like agent commissions and escrow.

Not counting the down payment, the closing costs are still ~$8000, plus I have to pay buyer agent commission of about 3% which adds another $3600...

It's just a little more than I had expected. I'm going to negotiate the underwriting and loan origination fees, but is there anything else I can do to get costs down?

Thanks