All Forum Posts by: Rereloluwa Fatunmbi

But what if I have a W2 job I do about 7-8 hours (8am-3pm/4pm) a day. But I spend after work hours (5pm-12am) on real estate activities. And weekends (Sat-Sun to catch up on weeks I worked less on real estate). Can I qualify as a REP?

0 Votes

What if I have a W2 job I do about 7-8 hours (8am-3pm/4pm) a day. But I spend after work hours (5pm-12am) on real estate activities. And weekends (Sat-Sun to catch up on weeks I worked less on real estate). Can I qualify as a REP?

4 Votes

I'm employed as a W2 computer engineer, while my wife works as a W2 software engineer. We have one short-term rental (STR) and two long-term rentals (LTRs). I'm curious about my eligibility for real estate professional status for tax purposes, given my active involvement in the following ways:

I actively manage our one STR and the two LTRs (with plans for cost segregation for all three properties).
I handle property management directly, without a property manager.
I have already dedicated 750 hours to real estate activities this year.
I'm even open to taking the realtor exam if it aids my qualification as a real estate professional.
Almost daily (and without fail on weekends), I engage in various real estate tasks: visiting our property or properties, tending to the yard, monitoring and adjusting short-term rental pricing, managing tenant and guest expectations, scheduling cleaning and maintenance, caring for the lawn, and more.

My primary question is whether the activities mentioned above are sufficient to qualify me for real estate professional status, or if additional steps are required for eligibility.

0 Votes

I'm exploring the possibility of acquiring an investment property worth $50,000, specifically a single-family home, in the Akron/Canton, OH area. Ideally, I'd like to make a down payment of 20% to 25%. However, I've encountered an obstacle: my lender has informed me that banks typically do not provide FHA or conventional loans for amounts less than $75,000. Given this constraint, I'm seeking advice on the most viable financing options that would allow me to secure this property without having to increase my down payment beyond 25%.

0 Votes

Akron, Ohio

Hi,

Can you also send me referrals for a property management company and handymen

1 Vote

Akron, Ohio

Quote from @Bob Stevens:

Quote from @Vivan Bhalla:

Hello all,

I closed my first turnkey property deal in May 2023. It is a SFR in Akron, OH and I used a very trusted company (do not want to share the name now) which has a big presence on this site and is very well known. Before closing the deal, I had a tenant in and everything looked perfect. The tenant signed the lease starting May 1 2023. I was given access to certain apps by the PM company to check the rent paid and all the cashflow etc. In June I noticed something odd, there was no rent for the month of June. I thought this might be a glitch and since I recently signed up I will give it sometime to sync up. I then went on a vacation and this slipped out of my mind. In Jul I checked everything again and noticed there was no rent. I immediately reached out to my PM and they said they will find out what is going on. After a day they got back to me saying the tenant lost the job and has not paid the rent yet. I got furious as this was going on for more than a month and the PM did not pay attention. I immediately raised this to the company through which I bought the turnkey property and they told me they will reach out to the PM company.

After a day they came back to me saying the tenant has been communicating and has partially paid rent. This is basically a hicckup and they will complete the rent payments by Jul 21st. The tenant kept paying partial payments after Jul 21st. As of today, Aug 3rd, the tenant has not paid the rent for Jul and no rent for Aug. PM has put 3 day notice and going to offer the tenant cash for keys. They said the good thing is that the tenant is communicating and making partial payments.

This is my first ever property and I am kind of disappointed. I am also very furious that why are tenants protected if they do not pay rent. If they cannot pay rent then the owner should have the right to evict them immediately. But that is another topic altogether. I want to know what can I do here and how to make it correct.

Thanks

VERY long post to say, your tenant is behind, LOL, so evict. I have extensive experience there and Cleveland. This is why I do 90% govt programs.

I have done about 500 deals out there all while living OOS , happy to recommend a PROPER PM co, I know them all,

BTW, I just referred a client with 200 props in Akron, as he was getting screwed by his pm co.

Good luck

Hi Bob,

I just sent your a connect request and private message. I will also appreciate your referral for a good property management company as I am on a similar boat as the OP

0 Votes

Akron, Ohio

Hi people,

I just purchased a 3b/2.5b, 1400 sq ft new construction SFH in a neighborhood currently undergoing gentrification. I intend to use this property for STR (airbnb/VRBO) in Houston. I live in Austin (where I have an airbnb) but I am totally new to Houston. According to airdna, Downtown Houston is a B grade when it comes to occupancy and revenue. Any tips on how to be successful and pitfalls to avoid will be really appreciated. I am also open to meet in person if you are comfortable with that.

Rere

0 Votes

Houston, Texas

Hi people,

I just purchased a SFH I intend to use for STR (airbnb/VRBO) in Houston. I live in Austin so I am totally new to Houston. I am in search of a handyman that is able to install accent walls, chandeliers, paint, patio flooring, curtains, picture lights, assemble furniture, etc.

I also need a professional photographer who is familiar with taking and editing airbnb pictures.

Do you have referrals for either/both positions? Thanks in advance.

Rere

0 Votes

Houston, Texas

Quote from @Joshua D.:

Hey Chris,

In my honest opinion, if you have one single-family home - I suggest you not hire a property manager.

What you should do, is just place a really good tenant.. Super qualified, in no rush, etc.. If you acquired a property with a tenant in place, just be upfront with them about you living out of town, and explain you're gonna need some help from them collectively and perhaps involve them.

I've only had pretty poor experiences with many property managers over there.. I'm going to say 95% are not what you may be looking for, especially with a single home.

I did this myself, from Los Angeles, with the first 4 properties i purchased out there in Akron, and i still manage them by myself to this day a few years later. Now I have 30 units over there most of them single family now.. but I have basically my own management team in place. Be wary of anyone telling you, you can't do it. My 2 cents.

Hi Joshua,

Thanks for your candid and helpful feedback. I just purchased an occupied and newly renovated SFH in Akron, and started shopping for a property manager days ago. I live in Austin, TX. I think I can self manage my property once I get the tenants in. But I have no idea how to go about finding tenants, listing my rental on the MLS, doing showings of my house to prospective tenants remotely, writing up the right contract for the tenants, and running background checks.

How do you manage these remotely? Your response will be highly appreciated.

Rere

0 Votes

Akron, Ohio

I will be closing on two multi-family rental units in Akron in a few weeks from now. I am an out of state investor (based in Austin, TX). Would appreciate it if you could share references of a good property manager.

Thanks in advance!

0 Votes

Akron, Ohio

All Forum Posts by: Rereloluwa Fatunmbi

Rereloluwa Fatunmbi has started 13 posts and replied 31 times.

Post: Qualifying for Real Estate Professional Status: A Detailed Inquiry

Post: Can W-2 employee qualify for real estate professionals?

Post: Qualifying for Real Estate Professional Status: A Detailed Inquiry

Post: Exploring Financing Options for a $50k Investment Property with a 20% Down Payment

Post: New Investor, Out of State, Need Property Mgmt and Handyman Referrals In Ohio

Post: Bought my first turnkey property and had troubles as soon as 1 month after closing.

Post: Starting a STR in Houston (2.7 miles to east river project & 3.7 miles to Downtown)

Post: Handyman and professional photographer needed

Post: Property Management Companies

Post: Looking for referral for a good property manager