Real Estate Provides Income from at least 3 Sources?
Do you know?
Capital Appreciation
(Property values typically increase over time)
Paying down the Mortgage
(Steady Increase in equity)
Income from Operations
(Simply Rents minus Expenses)
What about Tax Benefits? Many folks consider tax benefits as an additional source. Although this is true, I don't like to count it mainly because most of the tax breaks in real estate are temporary in nature in that they are more of a tax deferment versus a permanent tax reduction.
Maintain your privacy. When you become a member of one of our LLCs, the LLCs name is listed in public records as the owner of the property. Most of the members (owners) of the LLC can remain private.
Your name does not have to show up as owner in public records?
Caveat - Companies do need to provide the name of the registered agent and company officers to the Secretary of State which does becomes public information. However, as a member of one of Denbar's LLCs we do not list our investor members names.
Spoiler Alert - You can't sell your apartment property here and reinvest it in your dream house in Jamaica. (Believe me, we have tried!) The IRS does not consider US property and foreign property as "like-kind".
You have to reinvest the proceeds from your sale in "like-kind" property of equal or higher value. But still not a bad way to grow your portfolio. "Like-kind" is pretty much any investment property. So for example, we sold a couple of apartment buildings and rolled it into a gas station.
You can defer tax on capital gains when you sell a property?
Real facts. Real News. Real Calcs. Really!
REAL INFO
INDUSTRY INFO , NEWS AND RATES
The bad news - Sure you can eliminate capital gains - but you have to die first!
If you bequeath your property to someone else, your beneficiary inherits your property on a "stepped up basis" which is the fair market value of the property on the date of death. Therefore your beneficiary can sell the property (for fair market value) and avoid paying any capital gains.
You can eliminate tax on capital gains?
Mortgage Calculator
Quick and Easy
Just calculates the monthly payment.
Caution - You cannot personally guarantee a mortgage for property held in your retirement accounts. Most of our investments do not require you to personally guarantee a loan making them a good choice for IRA's b
You can use the funds in a self directed 401K or IRA to purchase real estate directly or by owning a membership interest in an LLC. Don't have a self directed retirement account? It's easy to create one and rollover your money from your regular or Roth IRA. We are working on a section about investing in real estate using retirment accounts.
You can invest using your retirement accounts?
Back To School Time
Want info on real estate finance and mortgage calculations?
We are putting together in depth knowledge about real estate finance in our Denbar U section. We admit it may somewhat technical and a little dry. So proceed at your own risk!
Caution - You may still have to pay a tax called UBIT. So please check with your tax advisor before using retirement funds.
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Clicking on calculate will open another page with more info than you ever wanted to know about your loan