All Forum Posts by: Basit Siddiqi

If you want to build your portfolio and its a property that is already making money, why would you want to sell it?

If you are making $500,000+, you are in the 1% of wage earners.

If you work a lot, you likely don't have the time to spend all of the money you earn.

You don't need to shoot for the moon and find the highest return on investment which may either be risky or require work on your end.

If you can save and find investments that return that are 6%-8%, you will be set

With that said, I would go with RTR if that means a more reputable company(less risky) and less work required on your end.

Best of luck.

I always advise to run a business for 3-6 months without an entity to see if it something you are making money in and something you want to continue doing.

Once you have 3-6 months of activity, you have more information to provide to an accountant regarding income so he can provide suggestions on entity type.

Best of luck

You have to complete Schedule E if you have rentals.

You should check if the turbo tax premier version allows the filing of Schedule E.

With that said, using a software like Turbo Tax will assume you to understand what is deductible.

If you work with a tax professional, you are more likely to have an accurate return. He/she can also provide guidance / consulting throughout the year.

Best of luck

SBA defines a small business based on employees and revenue size. They don't mention anything about paying payroll taxes, workers comp, complying with laws, etc

Real estate agents can have a team around them where they do have employees if they have admin/support or marketing team.

Regardless, if you want to interchange small business for commissioned sales people in my post you can.

My post was mentioning that service providers in the real estate space are incentivized by their advertisements as it will increase their annual income.

One thing to note when getting conventional mortgages and spouses.

There is a 10 limit per person for conventional financing.

You can either do 10 conventional in each person's name which would be 20 mortgages for 2 people or if you do the mortgages jointly, will only allow 10 in total.

My thoughts are not to own joint assets until you are both married. 
For the time being, might as well get a mortgage in one person's name.

Best of luck.

You mentioned various places to put your money.

What is your expected return along with level of difficulty for each venture?

Stock Market = 
Multi-Unit Property = 
Established Business = 
Payoff rentals = 
Hard Money Lending = 

The ideal situation is too invest in the item that will get you the highest return and lowest level of difficulty / time spent.

Best of luck

The term 'Tax Strategist' is a catchy name but doesn't hold much weight.

You want to work with a CPA or EA who has experience working with real estate investors and will allow you to frequently discuss planning throughout the year.

Best of luck

Gain is sales price less cost to sell less adjusted basis.

Adjusted basis is original purchase price plus improvements minus accumulated depreciation.

If you feel like you did the tax returns incorrectly the past few years, you can have your new accountant look them over.

If they see an error, there might be an opportunity to amend the tax returns and get a refund.

Best of luck.