All Forum Posts by: Ryan Kaysen

Thanks everyone! this has been confusing but I'm glad I learned from it. 

I had another person tell me the information below. That seems different than the others.

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Remaining mortgage is irrelevant.

Sale price $352,000

sale expenses - 21,120

Net sale proceeds = 330,880

Purchase Cost basis -327,000

Improvement cost basis -12,456

Net Loss = $8576

___________________________________________________________________________

Depreciation recapture of $23,349 minus loss $8576 = $14,773 Net section 1250 gain

$14,773 x 25% = $3693 Federal tax. Note: none is taxed at 15%. This assumes you have no other short term capital losses to offset depreciation recapture (long term losses cannot be used)

$14,773 net capital gain x 3.07% = $454 PA tax

what is the best way to calculate the tax due on the sale of investment property? I have had mixed results from different sites and would like a solid answer. They all seem to be pushing 1031 exchanges which I was not able to do for this sale. Please help!

Here are the numbers:

Purchase date: 8/2015

Sold: 6/2018

lived in property for 8/15 to 11/16(15 months); rented from 11/16 to 6/18(18 months)

Purchase price: $327,000

Purchase Settlement costs: $14,437

Improvements during ownership: $12,456

Depreciation taken during ownership: $23,349

Sale Price: $352,000

Sale Costs: $21,120

Remaining mortgage: $296,250

Cap gains rate 15%

PA state cap gain rate: 3.07%

Depreciation recapture rate: 25%

not sure if any other details are needed. please let me know if there is any others.

So my mom and I have one rental. We want to start flipping. In 2016 we used an accountant to do our taxes and ended up spending 10% of our income from the property. Obviously this isn't affordable so in 2017 I did the taxes. I was CFP® in my past life so i wasn't too unfamiliar with taxes but knowing how much there is to miss I know the wise decision is to get help in 2018. How do I find an accountant that won't eat all of our profits? should i go to H&R? Should i find a young CPA? Anyone have experience here?

I I recently listened to a BiggerPockets podcast where the guest recommended that we do a Ride Along. I'm hoping to find someone in the Philadelphia area who is currently working on a flip so that I can stop by and see how the project is going to learn for my flips. I have no experience in construction and am afraid that I won't know what to look for when assessing a property for a Fix and Flip. I'm simply hoping to get a visual of a working flip and advise on what to look for when looking for Rehab costs. Can anyone out there help me?

I'm looking at some HMLs in my area. Some have better rates than others but what should i be looking for besides lower rates? Most of them seem established enough to be reliable so what am i missing?

My choices are buy another rental or lend the money for a 10% return. Anyone have experience with private lending investments? Any downside? What kind of return could i be missing out on? Looking for pros and cons. Thank you!

Any wholesalers still active on this thread? I am actively looking for flip deals in Delco. Mainly Media, Springfield, Aston, Elwyn, Brookhaven, etc.

Hi i'm looking in South Philly right now and heard there is the possibility of using the government to fund real estate deals. the area I'm looking has some section 8 housing so i wanted to see if anyone has done this in the area and ask:

how do i get qualified to get gov't support for housing?

what are the benefits?

What are the cons?

Is it worth it?

and any other advice you can provide. Thanks!

Anyone in the area have experience with the local banks or have been creative with the way they finance deals? I have been speaking with a lot of banks and they haven't been able to offer much advice on how to fund a deal without sinking all of our cash into the walls of our deal. I want to put the property in my LLC but because this is our first deal they don't offer very friendly terms. Seller financing isn't available and i haven't looked into private lenders yet because my partner has a hard time trusting them. Anyone in the area have ideas on how I can fund this deal without being put in a cash poor position?