All Forum Posts by: John Chapman

Thanks, Jason.  I don't think I'm quite at the point where I can self-insure yet, but its definitely something to keep in mind for the future.  Do you clients that self-insure keep a reserve in place in case of fire and total loss?

OK.  Great.  I already gave them a call.  They have an office about 30 minutes away and I'm waiting for an agent to return my call.  I'll let you know how it works out.  Thanks!

Thanks, Ron.  Do you have a URL or contact info for Country Insurance?  When I google I see a CountryFinancial.com.  Is that the company you are referring to?

In terms of self-insuring, I would first see if I could self-insure only the fire insurance and not the general liability. 

I'm having trouble getting insurance for a 31 unit apartment building I have an offer on.  It was built in 1971 and has only had minimal updates since then.   The only quote I have so far is about 10% of rents-- $20,000.  The roofs are in OK shape as are the electrical panels, but getting insurance on older apartment buildings is a nightmare.  Does anyone know of an insurer that I should investigate?  

I have a another question.   I have a number of 1-4 family properties a number of which are paid off.  Does anyone have any experience with self-insuring?  Is there a level at which it makes sense to do so?  Is there a rule of thumb on reserves that should be kept if one was self-insuring?

After more investigation, it appears to me that if a married filing jointly couple has less than $315,000 of taxable income then all of their Schedule E income would qualify for the 20% deduction for pass through businesses (sole prop, LLCs, etc.).  Is that your understanding?  After $315,000 of taxable income for MFJ filers or $157,700 for single filers it gets complicated quickly.  For anyone interested in the details, see: 

http://www.mrzllp.com/blog/calculating-the-20-percent-deduction-for-flow-through-businesses

I heard the new tax law allows first year expensing. Does that apply to appliances, flooring, etc.  Are residential rental buildings still going to be depreciated over 27.5?  What about roofs are we still going to have to depreciate them over 27.5 years?

As a sole prop do I have to have employees to get the 20% deduction?

My thinking was that it would just be a tool for the cleaners— instead of a normal vacuum. They would inspect the area to be vacuumed and then turn it on while the human cleaners were working on the kitchen or bathroom.  First make sure no dog poop on the floor as in the USA article!

Do you have any experience using robot vacuums for cleaning your rentals?   I’m considering using them this year and would be interested in your thoughts. Thanks 

Has anyone used robot vacuums for cleaning rental properties when turning units over?  I'm wondering if they are cost effective or if its cheaper and more efficient just to have a cleaning person do the vacuuming of the carpets and floors.  Any experience you have would be very helpful.  Thank you.

Justin,

Could you tell me about the six-plex you have for sale in Pullman?