All Forum Posts by: Yonah Weiss

Congrats, I hope the deal goes well @Angelina A.! Surprise is a great area. There are plenty of very active CPAs on this platform who would be able to help you. You can search the forums for our resident tax experts. Here's a few great ones:

@Daniel Hyman

@Michael Plaks

@Ashish Acharya

Thanks for the mention @Chris Levarek. @Kristen Savino our company works nationwide, and always happy to help.

@Michael Hawkins there are about 20 or so active CPAs on this site, nowadays it doesn't necessarily be local, they are all great check some of them out

@Daniel Hyman @Michael Plaks @Ashish Acharya @Natalie Kolodij

@Kelly Jones the depreciation would begin when you place it in service as a rental (2023 in this case) and your depreciation tax basis will be based on the original purchase price. 
Even though you 'could have rented it out'--you didn't, as you said you used it as a second home. 

@Jevon Reile From a depreciation and cost seg standpoint the property would be treated as one. A mixed use property is typically based on an 80/20 rule, but in this case both of the uses are 'commercial' since STRs are treated as 39-year depreciation since they have a transient usage.

@Rose I. I believe if you aggregate them, then the 100+ hour test would apply to all the properties. But remember it's 100+ hours AND more time than anyone else.

@Jesse Dahms if you're not accredited, you'll have to at least be a 'sophisticated investor' and have a pre-existing relationship with the syndicators who are doing a 506(b) exempt offering, before investing. I know quite a few that are in the MHP space, and happy to make some intros if you want, feel free to send me a DM

@Eric S. Got it. In that case you will not need a section 754 step up in basis. Buying 100% of the LLC is no different than buying the property from a depreciation perspective.

You can do a cost seg on the depreciation of the full purchase price. 

@Eric S. to clarify, are you purchasing the property from yourself (or an LLC that you own)?

If you are a partial owner, you would need to do section 754 step up of basis to the new purchase price. But if you are more than 50% owner, and just 'selling' to another entity that you own, that is considered a non-arms-length transaction, and you wouldn't be able to step up basis, or be able to take depreciation based on the new purchase price.

@Rose I. Short answer, yes. As long as it's all within the same year, hours spent on one property qualify you for the designation, as long as you aggregate all of the properties.