All Forum Posts by: David Jason

Great podcast. I have a follow up question about the bonus depreciation. We purchased our first SFR in December 2017; however, didn’t purchase the appliances until 2018. Do I apply the bonus depreciation to my 2017 or 2018 taxes?

Great podcast Rich. I ran from Maxwell as fast as I could. Do you think that it would be easy to replicate your team in a different city without living there?

@Austin Wise, welcome to BP. Yes NOVA can be pricy, but there are deals to be found. You just have to work a little harder. Long term residents see their home funding the rest of their lives when they sell. Get to know your target seller and demographic.

If you are having trouble getting started try using a realtor to look for investment deals. They get paid by the seller and have the time to scour the inventory. Your purchase price might be higher, but getting your First deal moving won’t happen in its own. You have the financial piece worked out now get the realtor and contractor part of your team in place and let them do the work. Watch the Core 4 podcast on BP last week. Good luck.

Great Job @Rick Watt. Good numbers and instant equity are positive indicators. Dave

Does anyone know if there is a calculator that combines the rental property calculator and the HELOC 1st position pay check strategy? Wondering how to figure the cash on cash ROI based on the daily interest calculation and accelerated payment.

thanks

UPDATE: We closed yesterday. Here are the purchase numbers... First appraisal: $600K Offer: $525 in Feb after home inspection. Offer accepted in Nov after other interested parties needed alternative financing for the deal. 25% down and a 30 yr fixed 4.25% note. Lender appraisal- $585K All major systems will be replaced Lower bathroom is a gut and expand New roof Referb kitchen keep 60% of floorplan and cabinets Paint Sump pump and drains Blown in insulation in the attic Windows are maybe Egress window creates a 4th bedroom in basement 3 months of carry expenses additional All improvements - $60K budget. Rent at $3400/month target date of 1 Apt for tenants Expected 12% return on cash I know we didn’t pay rock bottom price, but the non-tangible is that this is the house next door and we now control our destiny. A developer would have knocked it down. Let me n ow your thought and advise going forward. Thanks for the encouragement

Jake, The website was LegalNature. I won’t use them again and canceled the free trial after talking to the title company about the “Virginia template”. Ds

Any advise on the pros/cons of paying for the owners title insurance for an investment purchase. Are there different circumstances where the answer is different? Thanks Ds

@johnleavelle, Thank for the reply. I didn’t have that formula so when I plugged in my numbers I get a range of values based on the ARV. There was a fix and flip around the corner this summer that closed for 610k and was listed for 845k post reno. If I use that number, my contract price is 20k below the MAO. I’ll post my numbers after we close. Don’t want to jinx anything. Ds