Can a Tenant in Common Force a Subdivision?
Tenant in common (TIC) is a property ownership structure where two or more investors jointly hold title to real property assets.
What Risk Factors Should Be Considered When Planning Your Portfolio?
The goal of a portfolio is to generate positive returns and conserve capital. However, there are always competing forces at play. Trying to achieve high returns comes with the caveat that you must take on higher risk. Some investors aren’t willing to do that. So investor risk profiles come into play.
Can an Opportunity Zone Flip Houses?
The Tax Cuts and Jobs Act created Qualified Opportunity Zones in 2017. The goal of this legislation was and is to encourage investment in economically distressed areas. It does this by incentivizing taxpayers to direct their capital gains (profits from the sale of qualified assets) into new investments in specific areas. The zones are designated census tracts identified as low-income and in need of more significant economic investments. The Treasury Department has recognized over 9,000 census tracts among those nominated by each state and most U.S. territories.
What Is the Efficient Frontier and How Do You Calculate It?
The efficient frontier is a concept in finance that can help you identify a potential portfolio for any given return requirement and level of risk.
1031 Exchange Single Family into Multi-family: What You Need to Know
Considering a 1031 exchange from a single-family investment property into multi-family? If you set up the exchange correctly and complete the transaction within the strict timeline, it’s possible.
What Is Excluded from Net Income Investment Tax (NIIT)?
What Is the NIIT? The Net Income Investment Tax was imposed beginning in 2013 to help fund the Affordable Care Act. The NIIT is contained in Section 1411 of the Internal Revenue Code and applies a tax rate of 3.8 percent to the net investment income of individuals, estates, and trusts that have income above specific thresholds. It applies to income from these sources:
What Is Net Operating Income in Real Estate?
To consider the potential profitability of a real estate investment, there is a calculation called the net operating income (NOI). The calculation is done by taking the revenue earned from the real estate investment minus any operating expenses.
Can I Pull Equity from an Opportunity Zone?
Qualified Opportunity Zones (QOZs) were created as part of the Tax Cuts and Jobs Act (TCJA) in 2017. This legislation aimed to increase investment in economically disadvantaged areas of the country by encouraging investors to reinvest their capital gains from other successful ventures.
How Much Is the Penalty for not Paying Estimated Taxes?
If you bring in income that doesn’t automatically have taxes withheld, you are expected to pay estimated taxes to the IRS each quarter. If you don’t, you will face penalty fines.
What Is the Difference Between a Qualified Intermediary and FATCA?
A Qualified Intermediary or QI is a key participant in a 1031 exchange and is critical to the successful outcome of the transaction. Sometimes referred to as a 1031 Exchange Accommodator, the QI is responsible for the following actions:
