A 1031 exchange, also known as a like-kind exchange or a tax-deferred exchange, is a provision in the U.S. Internal Revenue Code (Section 1031) that allows real estate investors to defer capital gains taxes when they sell a property and reinvest the proceeds into another like-kind property. This provision applies to both federal taxes and, […]
Investment Property
Financing Investment Property
Financing an investment property typically involves obtaining a mortgage loan or using alternative financing options specifically tailored for real estate investors. Here are some common methods for financing investment properties: Conventional Mortgage Conventional mortgages are widely available from banks, credit unions, and mortgage lenders.Investors typically need to make a higher down payment, often ranging from […]
Ins & Outs of House Flipping
Flipping houses is a real estate investment strategy where an investor purchases a property with the intention of renovating or improving it and then selling it for a profit. Here’s a breakdown of the ins and outs of flipping houses: Finding the Right Property Successful flipping starts with finding the right property at the right […]
Calculating ROI for an Investment Property
Calculating the return on investment (ROI) for an investment property is essential for determining its profitability and evaluating its potential as an investment. Here’s how to calculate ROI on investment property Determine the Initial Investment: Start by calculating the total amount of money invested in the property. This includes the purchase price of the property, […]