All Forum Posts by: William Morrison

 Chad you always want to be able to ask your CPA intelligent questions.  And it helps if you're not the first to bring a particular type of tax event to them.  Grin.  The two books I suggested will help, especially the one by Matthew Allen.
You might also like to look at the IRS Form 990-T and the associated Schedule E. You might find it's just like Passive income outside of a IRA with your income above the deduction limits.
You can have a negative return and a carry forward.  And that's where the 12 month rule Doreen mentioned comes in later and is great for you.
Some think because its in an IRA none of the normal real estate tax benefits apply, not so.

I do pay a small (small to me) fee for his annual service.  Helps keep me current on changes in laws and regs related to 401k's.  I like both books for different reasons, Grin.
A third but much drier and a tough read is:
The Self Directed IRA Handbook
by Mat Sorensen Attorney at Law
I'd wait until you've read the other two.  I like having references close at hand, with yellow stickies and notes.

 I used Sense Financial.  @Dmitriy Fomichenko is here on BP and has been very helpful during the process and after I was up and running as well.  I also liked these two books:
Leverage Your IRA
by Matthew M. Allen
Best price is on the NASB site.
and
Live Tax Free Forever (through Your Solo 401k)
by Michael J. McDermott
It is like a lot of real estate and financial books that really have an important message but limited scope. So some fluff to justify a book, but worth it.

 Brandon, I like the School, neighborhood and tax history, most of that comes from somewhere else.
The rest is haphazard.  While checking the schools out on a property I found strange pictures, they were 10 years old or more.  I've seen it many times sense, now that I look for it, for grins.  The comps depend on computer generated info that requires the neighborhood to be large enough to have a data base and can't be eclectic in age and type.  Interesting start.  For an other grin check day's on Zillow.
I also have property I own that the SF is off by 40%.     How do think that affects the comps.

 Great point Mike on the 15 years.  It had me go back and look at mine.  Mine is set at 10 years, so be sure to check with your providers as Mike said.  And when looking mine up I found there is a large number that don't allow loans as all.  I was surprised.

Isn't the real issue trying to move a new tenant in with no vacancy day.  If as you implied the first tenant has the place rented through the 31st, it's theirs unless you gave them a credit.
As @Joe Splitrock said "clean" when you move in, clean when you move out.
If you are moving out one day and moving in the next, pay to have it cleaned the night or afternoon of the 31st.
April has 30 days is this May 31st?  If you schedule a pre-walk through you could have a pretty good idea of the condition.
When did you schedule the walk through with the new tenant.  The morning of the 1st?  If it's at noon, you have the morning to get it finished.  If it's before the lease on the 31st, that's a little more difficult. Grin.

 Bryan, the Bogleheads Thread was a tough read. Grin.  They did seem to be skipping over how they propose to deal with Passive vs Active income.  Probably there, just a tough read.  1099 vs W2

Isn't this a little different because the owner relocated the legitimate tenants.

@Doreen Chaisson great recap.  Christian if you would like a good reference I would recommend:
Leverage Your IRA
by Matthew M. Allen
It's put out by NASB which is involved in lending to Solo 401ks and Checkbook IRA (or IRA LLCs).
It's cheapest on their site.
It has great charts and tables showing UBIT and UBTI as it relates to an IRA.
I've used them for non-recourse loans and I have both 20 year and a 5 year arm depending on the numbers that worked.  They base what they'll on rents, value and reserve.  30% down doable but 40% more likely in my case.  Rates not too bad either.
The 12 month rule Doreen mentioned gets overlooked in many responses I've seen on BP.  It's a great point.

 Rich, I did it using the form available on Dmitriy's site as part of the support provided.  I used Bankrate.com to get the current prime rate and amortization table.  Spouse had to get signature motorized same as at any company 401k.