All Forum Posts by: Michael Plaks

@Andrew Balogh

If you want someone local, reach out to @Account Closed (Raleigh).

Otherwise, we have another 15+ tax accountants on this forum specializing in REI, and we work remotely, nationwide.

@Diana Medina

Want to add 2 points that we accountants take for granted and often fail to mention:

- Have a competent tax accountant calculate your potential tax impact from the sale first. Sometimes it's so small that the most sensible route is to just pay the tax.

- If you're to pursue an exchange, a 1031 intermediary must be engaged BEFORE the closing. After the closing, you have absolutely no way to commence an exchange. 

@Matt Holt

Read this introduction by @Brandon Hall, CPA:

https://www.biggerpockets.com/renewsblog/2016/02/21/tax-implications-house-hacking/

@Brian Wert

Reach out to @Account Closed, he is in PA.

Deducting a new HVAC system is generally a no, save for rare exceptions, such as a non-residential property.

Yes, they did: "We bought and rehabbed, it is not yet rented."
 

@John M.

It's basically a two-step process:

Step 1. HRB

Step 2. One of us to fix it.  :)

I'm only half-joking though. Like any major chain, they employ tons of people and provide minimal training. Their new people are paid very little and are motivated even less - just a seasonal job for them, like retail for Christmas. 

They also have some dedicated veterans with outstanding skills and experience. If you're lucky to find one of those, and that person will stick with you from year to year - it could be as good as any. But you have a much higher chance to run into one of those that are not up to task, which is the majority.

Even the better ones are not experts in REI, so that is good to keep in mind, too.

@Austin Ralls

Find experienced lien investors in OK and ask who they use. 

Attend TONIGHT's meeting of OKC REIA and ask there.

https://www.okcreia.com/

@Darlene S.

I assume that the property is titled under the LLC. If so, you must do an exchange under the LLC and buy a replacement property under the LLC.

Yes, it will be more difficult to fund, but it's the only way to have a valid exchange. Find a lender willing to work with you. Your 1031 intermediary may be able to suggest lenders.

That said, make sure that an exchange is truly beneficial for you. I have not seen your numbers, but I have seen plenty of situations where my clients planned to do an exchange, and my calculations showed their capital gain taxes would be too low to worry about.

@Daria B.

You can file one 1099 for free here, but the interface is very clunky and not user-friendly.

The shortest analogy: it's like getting married for the cooking.  ;)