All Forum Posts by: Priscilla Avery

Looking to connect with an investor friendly agent in Reno.  I am a newbie, however I will do alot of the research rather than relying solely on the agent. Looking for advice in the areas I have found that I like.  

Thinking Reno as I can work from there a few days a week while maintaining my job as an interior designer. 

Thanks, Priscilla 
 

 Thank you, Dustin! 

 Hi Alex, Thank you for your thoughtful response. I spoke with Sean from the BP community and will be doing more research.  Definitely read Tom Wheelrights book, Tax Free Wealth.  It's one of the best books I have read. When you read the chapter on the "magic of depreciation", you may find that even though the cost to do a cost segregation is a few thousand dollars, it will pay for itself very quickly and then begin to save you significant money over the long haul.  In order to take the losses of depreciation you have to make sure that you meet certain requirements as Sean was explaining to me.  So, you need to know if you meet the requirements before launching in.  

I think I will start a business for real estate investing but start with a "sole proprietorship" before starting an LLC. The reason is because if I at least start a sole proprietorship, I can write off all of the expenses I will be incurring while looking for a property, etc. For example, I am going to David Greene's Scottsdale retreat next week. That is no small expense! I would like to be able to write that expense off as a tax saving strategy regarding real estate. Not to mention, any time I travel to Reno or any other location to look for property, meet real estate agents, or do any other work related to building a business in REI, these expenses will be tax write offs. I believe that just a Sole Proprietorship will accomplish this in the short term and I can start an LLC later when it's necessary. I will be discussing these things with Sean coming up.

I would love your recommendation for a RE lawyer.  Thank you!  

My mantra right now is "If you fail to plan, you plan to fail."   I want to shore up my financials with smart planning and smart people around me to ensure success.  I am trying to fill in the gaps of the things that I know I dont know.  

Read the book when you have time.  Fascinating!   :). 

Maybe I'll meet you in Reno sometime. 

Thanks much, Priscilla 

I am also in the Bay Area.  I'm an interior designer, so very my career is in remodeling/additions etc.  Go to All Natural Stone on Seaborad Ave in San Jose.  Talk to Adriana - she's my rep.  Tell her that you want to find beautiful finish materials for a rehab to improve value but that they need to be very, very budget friendly.  She will help you find product that looks great but doesn't break the bank.  

You can also visit Bedrosians in San Jose and Bullnose Tile.  

Just reading the BRRR book again... David mentions that larger remodels and bigger scopes of work are the best for the BRRR strategy in order to build more equity. Light rehabs dont produce the best results for BRRR strategy.

He talks alot of putting on new roofs as that project scares other people away - yet increases the value of the home significantly.  Also you get the most bang for your buck doing kitchens and bathroom remodels. Putting on additions if you can - or finishing basements or attics into livable space.  

The point of cost segregation and good tax strategy is for me to be able to scale more quickly. I am not interested in building a website or having business cards or anything of the sort.  Definitely dont intend to walk around in a suit or act like Grant Cardone...? That's hilarious.  I cant even stand listening to that guy.   Just interested in smart tax strategies from the get go to save money.  Very simple.   

And I'm also confident in my knowing that I will love doing this. 

Newbie here and looking to start investing in Reno, NV or some other easily drivable area close to the Bay Area in CA that has properties not expensive as in the Bay Area. I cannot afford to start here.

BRRR is what I want to do. Also want to take advantage of the tax strategies in Tom Wheelright's book regarding doing cost segregation and taking depreciation on properties and items inside the property that can be a great tax benefit increasing overall cashflow even if your rents are cash flowing minimally.

Also wondering if I should create the business LLC as a first step in the state I will be investing in.  

Just posted this same question in the "starting out" category as well... Sorry for the duplicate

Newbie here and looking to start investing in Reno, NV or some other easily drivable area close to the Bay Area in CA that has properties not expensive as in the Bay Area.  I cannot afford to start here.  

BRRR is what I want to do. Also want to take advantage of the tax strategies in Tom Wheelright's book regarding doing cost segregation and taking depreciation on properties and items inside the property that can be a great tax benefit increasing overall cashflow even if your rents are cash flowing minimally.

Also wondering if I should create the business LLC as a first step in the state I will be investing in.

I'm an interior designer so all I do is remodel homes.  Investing is new for me.    Pro tip - I would say DEFINITELY go shopping yourself, at least in the beginning.  You should be aware of the products out there and the costs for these materials.  If you dont know, you could wind up being overcharged for product they buy for you and get a sub-par look.  

My advice is to go to some local tile, stone and flooring stores and find a great salesperson.  They are MORE than happy to educate you on the products and pricing tiers.  Let them know what you are doing - that this is an investment property and that you need durable material that is not super expensive but that looks great.  They will guide you.

For example, porcelain countertops are gorgeous and well-priced.  They can look very high end. 

Also for cabinets, there are many stores online that you can submit plans to and they will help you design it.  Dont let your contractor design your cabinets.  Not their expertise.  You probably have local cabinet shops that sell well priced cabinets as well - do a google search. These companies are smaller and will likely give you better overall service than a big box store.  You might even find a well priced cabinet, flooring, tile showroom that can help you with everything. 

In my experience, most contractors have terrible taste and they dont like picking material anyway.  They like the installation and build part more.  Find some free design advice at these smaller stores to get a good look that will be budget friendly. 

Happy remodeling!