All Forum Posts by: Zane Wetzel

Thanks everyone for the responses. I'll look into those. I do have some family investing already, but not everyone I know has deep pockets. Lol

I've purchased and rehabbed a few mobile homes with land in Maine this year and renting with a cap rate at or above 30%! Awesome cash flow, but I need to cash out refinance to keep going. I've talked to at least a dozen banks and not one wants to lend on these gold mines. I've tried searching online for private or hard money loans, but everything out there seems to be a scam. Anyone have any ideas? I'm all ears.

@Harman N.

I've been researching this myself and from what I can tell, capitalizing is required on any updates made to a property while deductions are reserved to just repairs and maintenance. This year I've bought and rehabbed a few mobile home properties and I believe the entire investment must be capitalized according to the irs. I can only deduct the rehab if I sell the property, or through depreciation over time. The difficult thing is I've spent so much on rehabbing and have so little to deduct I show a huge taxable profit for the year and no money left to pay taxes. The good thing is my business looks good to the bank.