All Forum Posts by: Cameron Skinner

I would avoid this, Real estate has tax advantages to the individual that are not available to trust and c-corps.  Also the cost of setting up and maintaining usually cost more than any tax savings.  Spend your money and buy a few hours with a good lisenced tax professional in your area to set your investments up for the best taxable benefit to your specific situation.  Hire someone who owns investment real estate themselves and has some letters behind their name.  Hope this helps good luck!

you get into some crazy IRS rules with unequal distribution from a partnership, I would avoid doing this.

@Dmitriy Fomichenko is 100% correct solo 401k is far superior than SDIRA for real estate investing, but you need that self employment income. If I were in you shoes I would cut lawns on the weekends, clean houses, build fences, or what ever. Make 1 or 2k and open a solo 401k then roll the IRA into the plan.

Hope this helps, good luck!

yes, you can treat a single member LLC as a "disregarded entity" for federal income tax purposes goes on schedule c if business, or schedule E if a rental property. Hope this helps, good luck!

welcome!

Oh I will also clarify you need to hold it a year and a day after you "place it in service" available to rent not from the purchase.

@Dmitriy Fomichenko I agree that IRS can always look at the "total facts and circumstances" of any transaction, to determine "intent" but your intesions are extremely hard to determine and your even allowed to change your intentions,  For example, if I buy a property with the intent to flip but then can't sell it and change your intentions and decide to rent it.  That's why it's codified in the law that if you hold a property for more than a year IRS and the courts as a mater of practice assume you're intent was long term investment.  Just my thoughts on the matter.  Hope this helps good luck!

@Jon Holdman is 100% correct on the UBIT on flips.  A work around is to hold and rent the property for a minimum of a year and one day.  This automatically turns ordinary Income on any gain on the sale to investment income, thus getting rid of the UBIT which can be as high as a "brutal" 39.6%.  Hope this helps good luck!

I know she's not local for you but with email, text, skips ect it doesn't really matter where you live. you might want to reach out to @crystal Nixon she specializes in real estate and is very affordable. Best thing is she does not charge for calls asking how to set things up for best tax advantages and quotes you price in advance.

I know she's not local for you but with email, text, skips ect it doesn't really matter where you live.  you might want to reach out to @crystal Nixon she specializes in real estate and is very affordable. Best thing is she does not charge for calls asking how to set things up for best tax advantages and quotes you price in advance.