All Forum Posts by: Dustin Awtrey

@Jay Hinrichs

Congrats on your project, yes I am doing it all myself, water main and hydrants are in, road base is in, sewer main and electric are next then concrete streets... then the easy part, building the actual buildings

@Gennaro Coscia

It is zoned now for single family and duplex, my original plan was to build a complex of fourplexes but after an expensive and lengthy rezoning battle, the county council ultimately turned it down so that is why I decided on duplexes, I contemplated building and selling single families, but I'm more interested in holding for monthly cash flow.

@Ben Sears

glad to share! I've been in the construction business for nearly 20 years and this is my first real estate development, I am literally doing everything myself, me and a buddy of mine.

I am currently developing a subdivision of duplexes starting from the raw land stage and right now am in the process of running utilities and streets.

@Cathy Hall I'm an investor in stl, always looking for land, what area is it in?

@Michael Plaks yes I understand this, that statement was to basically state that you can only depreciate what was actually paid for the property? So if it cost me 100k to build then I can only depreciate 100k? But if Jon doe buys it from me for 250k and places it in rental service Jon doe can depreciate 200k? (250k minus the cost of the 50k land)

@Eamonn McElroy so hypothetically speaking, if someone were to buy the duplex from me for 250k they would be able to depreciate 200k but since it cost me 100k to build I can only depreciate 100k

If I am building a new duplex on a lot that is already paid for and it cost me $100,000 to build, and the finish product is worth $250,000 and the value of the land is $50,000 which amount can I depreciate, the $100,000 it cost to build, or the value of the property $250,000 minus the land cost $50,000 which would be $200,000?

As a regular w2 employee, a general rule of thumb is you will be paying 1/3 of your income into taxes. If you are full time landlord and live only off rental income profits what is a general rule of thumb on taxes you pay? Is it near that 1/3 or is it less? I know there are several deductions landlords can make, just looking for a general rule of thumb here.

i am wanting this income to be taxed passively, so i can avoid self employment tax. when cash flow starts coming in is when i will transition into full time real estate investing. i.e. flipping, buying raw land and developing, etc. doing most of the work myself having been in the construction trade for the last 20 years. would that put me as a real estate professional? or will my rental profits still be taxed passively?