All Forum Posts by: Scott Jensen

I agree with @Glenna Wood about contacting @Dave Foster. He knows his stuff. I would recommend calling 3 qualified intermediaries, tell them what you are thinking of doing and asking them for their input. There are lots of great qualified intermediaries that are super helpful when it comes to understanding the more complicated 1031 exchanges.  Make sure you get the pricing for each type of exchange. Normal exchanges are pretty cheap but reverse exchanges or delayed exchanges can be a lot more expensive.

Best of luck!

I would recommend looking for a local attorney because much of their work is state specific.  For the other areas, you should look for people who specialize in what you are looking for.  If you go to the XYPN Find an Advisor site and type in Real Estate in the search bar, you can find fee only financial advisors who specialize in working with real estate investors.

Lots of great advice!  If you are still interested in meeting with a financial advisor, check out the XYPN Find an Advisor and use keyword "real estate" to find financial advisors who specialize in RE.  They should also be familiar with how to FIRE before retirement age and tax planning (though not necessarily tax prep).  If you want my recommendation to someone for your specific situation, DM me.

I would also highly recommend @Tim Swierczek

@Tim Swierczek is your guy. He does great work and owns a bunch of properties himself.  I use him personally and recommend him to my clients.

@Idris Haroon There's no such thing as overleverage. It comes down to cash flow and reserves.

1. Are your properties cash flowing well?

2. Do you have enough in reserves to cover a significant period of vacancy?

If you have good cash flow and sufficient reserves, leverage just increases your returns.  You should post some actual details to get feedback as to whether he's right or wrong.

A correctly structured installment sale should spread the taxes out over the payment period.  Depending on his tax situation, that could enable some of the gains to be taxed at 0% long term capital gains rate. I would find a good CPA and/or real estate attorney who understands these.

@David Frol Yes, thanks for the correction. You can be the plan trustee for your own 401(k) and you don't need a custodian. The correct term would have been self-directed plan provider or a TPA (Third Party Administrator) to help set up and maintain the plan.

Hi @Trevor Barrett I would recommend going to XYPN or NAPFA and using their Find an Advisor feature. You can search for location as well as keywords/specialties. There's not a lot of us that work with real estate investors, but there are some. If you want help on the real estate side of things, you really don't want to use a "generalist" financial advisor. Let me know if you have any questions.

XYPN - Find an Advisor

NAPFA / Find an Advisor

@Andrew Brown If the projected IRR is between 6 and 10% I wouldn't do the deal. Real Estate investing requires work so I shoot for at least a 15% IRR to even think about doing a deal. I would be curious to hear what the actual numbers are and how you've done your calculations.