It's a genuine skill that can be learned and improved on...something I am still working on every day!

This iterative process is an effort to improve to estimate’s approximation of what is actually happening in the economy, but also means the “final” number can change multiple times.It often does.The BEA releases 3 quarterly estimates for each quarter’s GDP: the advance estimate (typically about a month after the quarter ends), the second estimate (two months after), and the third estimate (roughly three months after).

An example is a retail center we owned that we purchased for $1,200,000 and put $200,000 into improvements.  

Many QI firms like ours will have calculators on their websites that can help you as well.The first thing you want to calculate is your adjusted cost basis, which is the purchase price plus capital improvements, minus depreciation.

Liability protection, especially if you’re holding multiple properties.Partnership structuring, if you’re investing with others.Cleaner separation of finances, if you use a business bank account and separate books.What You Could Do Next:If your goal is to deduct more, consider whether you (or your spouse) can meet REPS or STR criteria in the future.Speak with a real estate-focused CPA to double-check how those reno and repair costs were categorized (repairs vs. capital improvements), and how your passive losses were handled.This post does not create a CPA-Client relationship.

Even small improvements like proper lighting, fresh paint, and flooring can make it feel usable and increase buyer appeal.

What’s been working for me and my circle lately:Seller financing: solve the seller’s problem first; short-term interest-only with a balloon after value-add keeps cash flow strong.Sub-to/wraps: take over low-rate loans and keep the seller whole—huge when DSCR is tight.Hybrid: small seller carry + private second to cut cash in, then refi into DSCR once stable.Private money: secure with note + mortgage/deed, pay on milestones, send updates—consistency = repeat capital.HELOC/LOC stack: close fast, cover rehab, then refi—speed wins deals.Lease-option: control now, improve, then exercise once financing improves.

Cosmetic improvements and new appliances.

Yard improvements: New grass and sprinkler system, and flower garden areas.

Motivated seller; facility and rent roll improvement opportunities.