Purchasing an investment property as an individual that you plan to transfer to your LLC later can have a ripple effect on your liability and property taxes. Q: I own a limited liability company (LLC) that holds some rental properties free and clear. The commercial lenders I speak with aren’t interested in a loan smaller [...]
Using a self-directed IRA for real estate investing can be a complex process involving countless rules and regulations that may not be worth the hassle. Q: I've enjoyed your columns for some time. What is your opinion of self directed IRAs for the purpose of buying real estate within the vehicle? My son is a [...]
When a loved one must be moved to a care facility, there are ways to leverage their property in order to afford the high cost. Q: My father has Alzheimer’s and I have power of attorney over his home. Due to the past hurricane damage, the home is in need of major repairs, everything from [...]
How to determine property tax deductions when ownership is unclear. It starts with figuring out who actually owns the property. Q: My grandma's house is in probate as she passed last year. Her grandchildren have been living there and paying the property taxes. Who gets the tax deduction for those tax payments? How to Determine [...]
When facing a potential liability lawsuit, it’s important to take immediate action to protect the rest of your assets. Here’s where to start. Q: My brother and I have owned a rental property together for more than 15 years. There is a current mortgage, and both of our names are on the mortgage and on [...]
Because lenders have the right to place a lien on any investment property you own, it’s important to act quickly or risk losing the property altogether. Q: A bank foreclosed on a property I owned with a business partner. The bank sold the property but the proceeds from the sale weren’t enough to cover the [...]
Should I outsource to a property management company? A lot of hard work goes into being a landlord, sometimes it's smarter to outsource property management. Q: I am planning to buy a four-plex and I was planning on using an on-call handyman instead of property management which is typically expensive. Since this is my first [...]
When someone passes away without a will, it’s difficult to determine who the deed will be transferred to. Q: My aunt left me her house when she passed away but she didn't have a will and we didn't have any papers signed to state that she wanted me to have it. She told my cousin [...]
Even when a mortgage broker is recommended by your real estate agent, it’s not a bad idea to shop around to make sure you find a broker that's right for you. Q: We've been working with a great real estate agent that was recommended to us by a trusted friend. The agent gave us a [...]
When you sell a rental property and want to avoid high capital gains taxes, a 1031 exchange could help you limit your tax liability. Q: We are going to sell a townhouse in a desirable area of town that we have owned for about 25 years. We rented it to tenants during that entire time [...]
