All Forum Posts by: Jessica Seppo

@Steven Hamilton II 

Thank you, this is very helpful. Currently, our properties are in our personal name,  and we are both listed on the Schedule E with all properties.. Would you recommend leaving this as is for 2020 taxes? (unless in the future we decide to move them into a Multi-member LLC then we will file as a partnership?)

We are closing on a property next week in the single member LLC, therefore that one property will be filed on a Schedule C correct or will this also be on the schedule E? I just don't like the idea of single member LLC because then what if something God forbids happens to one of us or when we have a family how do we ensure that this is legally theirs? We live in MI and my understanding is a husband and wife are not looked at as one and a single member LLC is for that member listed only.While the others remain on Schedule E unless we decide to move them into a Multi-member LLC then we will file as a partnership.

@Eamonn McElroy Hi, thank you for the reply! I could have been more clear. The properties we own are currently in our personal name, some in his only some in mine only. We file a Schedule E with BOTH of our names listed for all properties. (I am thinking this is incorrect now? and should only list who is on the deed for the respective properties listed) Possibly our CPA just assumes both of us are on the deed, or does this matter?

Second, even though it sounds like a married couple can file a Schedule E together if the properties are In our personal name we are looking to deed all of our of properties into a multi member LLC. Would this have any benefit over a schedule E and would we be able to carry over our unallowable losses, etc?

@Steven Hamilton II

Hello Steve! I hope you are well! I know this thread is years back but I am finding it very helpful and have a few questions if you are willing to help. 

My husband and I own multiple rentals some only in his name on the deed and some only on mine and a couple with both of our names. We have been filing a Schedule E with both of our names listed (I now think this is wrong and it should have been split according to who is on the deed?). If I understand correctly, we can file a schedule E if these properties are in our personal names on the deed correct? but both of our names should not be listed if we are not on that deed together. Therefore the four in his name only would specify his name only on the Schedule E correct? (where as today it lists us both)

If we choose to move all of these into an LLC for all of the deeds. Can the LLC be a single member or must it be a multi member even if it is spouses? We live MI so I understand this is a Non community state. Would this require a partnership tax return? Would filing a partnership tax return be very difficult or change any of our listed unallowable losses, incentives, etc?

Thank you in advance!!! 

Hi All!

Question about LLC's taxes. My husband and I have a Single member LLC in MI which is not a community property state. We file jointly and are both listed on the Schedule E for our properties. Is this the best way to file or should we move to a partnership and file differently?! Thanks in advance!!

@Eamonn McElroy thanks again, and completely agree. Potentially selling and making a $100K to then buy a larger investment would be the plan but then again we could utilize a 1031 exchange if the timing is right later down the line. We also may look into getting a investment HELOC to utilize the equity but not have to sell. There are many factors as you know. Thank you

@Eamonn McElroy hi and thank you! I am not against having our accountant run the numbers but would like to comprehend and give it a try myself, but it sounds like there a lot more factors into the calculation than I thought originally. If the numbers make sense, it might be best to sell to take advantage that we did live in it two out of the five years to avoid capital gains correct? 

@Ashish Acharya hello and thank you for tour reply! I think I need to understand the definition of recapture a bit more. As for gain, is it as simple as bought for $150K sell for $250K? I understand there’s more to it with commissions, expense etc but I want to just get a ball park to see if it’s even worth considering selling to take advantage that we lived in it for 2 years. Are there specific line items I can look at on our schedule E for that property to calculate? Thanks again!

Hello All,

My husband and I go back and forth about selling our previous primary residence depending on the market come July 2021. We lived in it for two years and once the current tenants lease is up in June 2021 we may sell. I want to calculate taxes if we were to sell, we meet the primary residence 2 out of 5 years for capital gains.

My question is how do I calculate the depreciation we have to reclaim or recapture? We have an accountant but I want to do it myself to get a rough idea up front as this is on our 2019 taxes. Do I use the depreciation and amortization report and add “Building+furniture & fixtures” which is our total schedule E depreciation and amortization for current year or is there more to it? Any guidance on this is appreciated!

We are cash flowing approximately $500 per month but did have a large expense last year and the home is from the 1920’s. I want to weight out all options.

Thank you in advance!

Jessica

Hi Guys!

Question in regards my primary residence HELOC. My husband and I recently got the HELOC and plan to rent out our home and move. Technically would our HELOC close once we apply for a mortgage through a new lender?

Any advice is greatly appreciated! We like for the HELOC to remain open.

Thank you!

Hi All,

Just curious on the situation, I am a real estate investor with over 10 units and currently have a W2 salary job. I also have additional small 1099 income. If for instance I were to get laid off from my W2 job, would I still qualify for unemployment? The real estate is bringing in cash flow each month assuming tenants continue to pay with COVID 19.