Search found 417 matches

by riverguy
Fri Sep 28, 2018 9:43 pm
Forum: Personal Consumer Issues
Topic: How to sell a 60-percent ownership share in an inherited 4-plex rental unit
Replies: 9
Views: 1192

Re: How to sell a 60-percent ownership share in an inherited 4-plex rental unit

Depending on the state and title details it may be that the majority owner could unilaterally decide to sell assuming steps were taken not to abuse the minority owner rights, for example making sire to seek highest market price. I would suggest aunt consult a local attorney if neice doesn't instant...
by riverguy
Thu Sep 27, 2018 3:22 pm
Forum: Personal Finance (Not Investing)
Topic: HELOC to Pay off Mortgage
Replies: 36
Views: 3258

Re: HELOC to Pay off Mortgage

HELOC interest for the first year is 3.4% APR after the 12 month promo offer it is prime + 0.9% So you save 0.375% in the first year on whatever you put on the HELOC. Prime rate is 5 going to 5.25% and higher as the Fed keeps raising. So you'll be paying over 6% on the HELOC after the first year. G...
by riverguy
Thu Sep 27, 2018 9:40 am
Forum: Personal Finance (Not Investing)
Topic: HELOC to Pay off Mortgage
Replies: 36
Views: 3258

Re: HELOC to Pay off Mortgage

All that matters is the difference in loan rates. Nothing else. Highly likely the HELOC is a higher rate so this makes zero sense...
by riverguy
Wed Sep 26, 2018 10:27 am
Forum: Personal Finance (Not Investing)
Topic: Do I really need a CPA to do taxes for LLC?
Replies: 13
Views: 1321

Re: Do I really need a CPA to do taxes for LLC?

4. If you file a partnership return with $50k in deductions and zero revenue, you absolutely will get audited. There is a 100% chance of it happening eventually. True, an entity does not have to generate revenue, but deducting expenses with no revenue is a yuuuge red flag. (Again--trusts are differ...
by riverguy
Wed Sep 26, 2018 5:26 am
Forum: Investing - Help with Personal Investments
Topic: Should I sell or rent my house?
Replies: 22
Views: 1882

Re: Should I sell or rent my house?

This is in California. Purchased home for 525k and now worth about 850k. 13 years left on mortgage at 2.675% rate. Property taxes about 540 a month (prop 13). Total current expenses around 3200 a month. Would probably rent out for 3500-3750 a month. Should I sell or rent it out? Never been a landlo...
by riverguy
Wed Sep 26, 2018 5:14 am
Forum: Personal Consumer Issues
Topic: First time home buyer and Rookie investor looking for advice on home buying process [Updated]
Replies: 20
Views: 1231

Re: First time home buyer and Rookie investor looking for advice on home buying process

If less than 2% is stopping you from buying the house because of one random appraisers opinion, then you don’t really want the house. Paying 2% over is not “overpaying”.
by riverguy
Wed Sep 26, 2018 4:58 am
Forum: Personal Finance (Not Investing)
Topic: Do I really need a CPA to do taxes for LLC?
Replies: 13
Views: 1321

Re: Do I really need a CPA to do taxes for LLC?

Seems like you will eventually be audited for having no revenue. Also consider that you will then be personally responsible for the tax returns that affect others.

I would be curious to know your desired estate planning setup that requires an llc to accomplish.
by riverguy
Tue Sep 25, 2018 9:16 am
Forum: Investing - Help with Personal Investments
Topic: To rent out our house or not
Replies: 25
Views: 1416

Re: To rent out our house or not

I wound up an accidental landlord as a result of the recession. Rented my place for 5 years while market recovered. Just sold a few weeks ago. I would never, ever rent a detached single family home voluntarily unless I intended to move back in and was prepared to do all of the repairs, renovations ...
by riverguy
Tue Sep 25, 2018 9:13 am
Forum: Personal Consumer Issues
Topic: Out of warranty repair for a Braun toothbrush?
Replies: 17
Views: 613

Re: Out of warranty repair for a Braun toothbrush?

My 5+ year old Braun's toothbrush battery has died. It is not user-replaceable. There are youtube videos that say you can replace it, but the process is time consuming and complicated. What are the odds that Braun will send me a new one if I mail them my broken one? I visited their website and they...
by riverguy
Tue Sep 25, 2018 9:07 am
Forum: Personal Finance (Not Investing)
Topic: Offer 3.5% to entice buyers agent
Replies: 12
Views: 1485

Re: Offer 3.5% to entice buyers agent

No one's skipping over 3% and there's really no extra work.
by riverguy
Tue Sep 25, 2018 7:39 am
Forum: Personal Finance (Not Investing)
Topic: FIL bought land with 6 other people, and one passed away
Replies: 8
Views: 1648

Re: FIL bought land with 6 other people, and one passed away

One important fact omitted is how title to the property is held. Did they form a corporation, LLC, or partnership or is it held as tenants-in-common? This determines what happens to the deceased owner’s share. I don’t understand the bank not being willing to accept payment unless the loan document ...
by riverguy
Mon Sep 24, 2018 10:21 am
Forum: Investing - Theory, News & General
Topic: Corporate debt bubble?
Replies: 20
Views: 2536

Re: Corporate debt bubble?

> Since at least 1971, debt is money. As the economy grows, it is necessary that debt grows to support it But some debt will never be repaid, so it's misleading to call it debt? eg, if I lend the gov 30k, they'll eventually have to give it back. If the Fed loans the gov 30k , they can loan it/roll ...
by riverguy
Mon Sep 24, 2018 10:14 am
Forum: Personal Finance (Not Investing)
Topic: How to evaluate a pay package of a startup
Replies: 14
Views: 1423

Re: How to evaluate a pay package of a startup

I've been offered a large percentage of my pay package in equity rather than salary even with established companies. I have always negotiated to increase my salary as much as possible for reduced equity. I value equity at barely more than zero. In about 80% of the jobs I've taken, my valuation of e...
by riverguy
Fri Sep 21, 2018 6:59 pm
Forum: Personal Finance (Not Investing)
Topic: What is the process for Trustee to sell house?
Replies: 11
Views: 712

Re: What is the process for Trustee to sell house?

Was the house in the trust before the grantor's death, or did the grantor's estate plan have the house going to the trust after his death? Recently in my family, there was a beneficiary deed that put the house into the trust after the grantor's death. So step 1 was notifying the county of the death...
by riverguy
Thu Sep 20, 2018 3:14 pm
Forum: Personal Finance (Not Investing)
Topic: Hubby soon to be laid off
Replies: 74
Views: 7789

Re: Hubby soon to be laid off

If you want to stay, refinance your mortgage to a 30 year. That will cut your mortgage payment by 1/3 even with a higher interest rate. Let your heirs pay off the mortgage when they sell the house. If your husband gets another job you can aggressively pay it off. If you go that route the extra inte...
by riverguy
Thu Sep 20, 2018 2:24 pm
Forum: Personal Finance (Not Investing)
Topic: Hubby soon to be laid off
Replies: 74
Views: 7789

Re: Hubby soon to be laid off

If you want to stay, refinance your mortgage to a 30 year. That will cut your mortgage payment by 1/3 even with a higher interest rate. Let your heirs pay off the mortgage when they sell the house. If your husband gets another job you can aggressively pay it off. If you go that route the extra inte...
by riverguy
Wed Sep 19, 2018 4:40 am
Forum: Personal Finance (Not Investing)
Topic: Which mortgage would you prepay?
Replies: 12
Views: 1103

Re: Which mortgage would you prepay?

Easily 1. Not deductible, higher interest rate. No brainer.
by riverguy
Sun Sep 16, 2018 7:31 pm
Forum: Personal Finance (Not Investing)
Topic: Finding an investment for soon-to-be-received large sum
Replies: 10
Views: 1152

Re: Finding an investment for soon-to-be-received large sum

astrohip wrote:
Sun Sep 16, 2018 5:38 pm
So what I'm asking here is... what are some ideas? Your thoughts, on investing options, or any of this?
Sent you a PM
by riverguy
Sat Sep 15, 2018 8:28 am
Forum: Personal Consumer Issues
Topic: Selling car to out of state buyer- funds
Replies: 19
Views: 1184

Re: Selling car to out of state buyer- funds

Hes coming here. Have him cash the check and you deposit the cash. Or, if you get good vibes once you meet him, just have him go with you to the bank to deposit the check. What bank is going to cash a check for 23k for a stranger unless it is the buyers bank and then why wouldn’t he just get the ch...
by riverguy
Fri Sep 14, 2018 10:22 pm
Forum: Personal Consumer Issues
Topic: [Wearing] Shorts in Egypt
Replies: 71
Views: 5496

Re: Shorts in Egypt

Maybe I am part Egyptian. One of my pet peeves, I think that men look like clowns wearing shorts in public, especially egregious are airports and airlines and restaurants other than fast food. Yes, I live in South Florida, I wear shorts on golf course, they are needed playing tennis and at the beac...
by riverguy
Fri Sep 14, 2018 8:08 pm
Forum: Investing - Help with Personal Investments
Topic: Investing more into my LLC vs Loaning
Replies: 4
Views: 372

Re: Investing more into my LLC vs Loaning

Im here to ask if this is the right train of thought for putting some more cash into my company. Its a partnership LLC and I don't want to own more of the company then my partner. The goal is to temporarily boost the company's cash pile without owning more of the company then the partner and to be ...
by riverguy
Fri Sep 14, 2018 4:24 pm
Forum: Investing - Help with Personal Investments
Topic: Investing more into my LLC vs Loaning
Replies: 4
Views: 372

Re: Investing more into my LLC vs Loaning

Im here to ask if this is the right train of thought for putting some more cash into my company. Its a partnership LLC and I don't want to own more of the company then my partner. The goal is to temporarily boost the company's cash pile without owning more of the company then the partner and to be ...
by riverguy
Thu Sep 13, 2018 5:05 pm
Forum: Personal Consumer Issues
Topic: Buying a house 1 mile away from a municipal landfill
Replies: 43
Views: 3477

Re: Buying a house 1 mile away from a municipal landfill

I'm living in the real world. The point of a lawsuit threat is not to win, but to get real estate agent to reduce their fee in order to have the deal go through if one is stuck in the deal or if one wants to back out and not lose their entire deposit. Or.......you just back out under your inspectio...
by riverguy
Wed Sep 12, 2018 9:14 am
Forum: Personal Finance (Not Investing)
Topic: The Atlantic: 'Why is College In America So Expensive?'
Replies: 27
Views: 2647

Re: The Atlantic: 'Why is College In America So Expensive?'

As long as there's enough people in America with enough money who are willing to pay for it, it'll keep getting more expensive. Or you mean as long as we keep handing out virtually non-dischargable debt to kids. This is the entire reason college is so expensive. College prices would drop like a roc...
by riverguy
Tue Sep 11, 2018 2:28 pm
Forum: Personal Finance (Not Investing)
Topic: paying mortgage
Replies: 12
Views: 1747

Re: paying mortgage

Doing some potentially flawed math here.. the more intelligent can weigh in whether this works or not. Let's say your overall tax rate is 25% and you don't itemize. So 5.5% x .75 = effectively 4.125% interest after tax on the rental? If my math works, your rates are the same, so primary residence i...
by riverguy
Tue Sep 11, 2018 11:11 am
Forum: Personal Finance (Not Investing)
Topic: paying mortgage
Replies: 12
Views: 1747

Re: paying mortgage

Depends on your circumstances but likely a wash due to being able to deduct the rental interest and practically not (unless you are over std deduction, which even then it is a small value) being able to on the home mortgage.
by riverguy
Mon Sep 10, 2018 6:28 pm
Forum: Personal Finance (Not Investing)
Topic: Buying Partner's Billboard Rights
Replies: 16
Views: 1844

Re: Buying Partner's Billboard Rights

Personally around 6 years on something like that would be my max. Ideally getting it for 4-5.
by riverguy
Mon Sep 10, 2018 6:16 pm
Forum: Personal Finance (Not Investing)
Topic: Buying Partner's Billboard Rights
Replies: 16
Views: 1844

Re: Buying Partner's Billboard Rights

Ditto the above. You offered wayyyyyy too much. 140 months cashflow is rich.
by riverguy
Mon Sep 10, 2018 2:29 pm
Forum: Personal Finance (Not Investing)
Topic: Father Wants a Home Mortgage (Bad Credit Score)
Replies: 43
Views: 3191

Re: Father Wants a Home Mortgage (Bad Credit Score)

Can your dad document that he paid rent? If so I would be very tempted to tell grandfather to go screw himself. I would continue paying "rent" but stop paying insurance and taxes. And inform grandfather you will see him in court. It is extremely difficult to evict a paying renter Ultimately your fa...
by riverguy
Mon Sep 10, 2018 2:22 pm
Forum: Personal Finance (Not Investing)
Topic: How to choose a real estate agent?
Replies: 24
Views: 2145

Re: How to choose a real estate agent?

Save the money, list it with a realtor on the MLS for a flat fee. Can do it for $200 here.
by riverguy
Mon Sep 10, 2018 9:46 am
Forum: Personal Finance (Not Investing)
Topic: Real Estate IRA....
Replies: 4
Views: 254

Re: Real Estate IRA....

Too late to do that. You would have to transfer it from yourself to the IRA which is a prohibited self dealing transaction. To have been able to do this you should have originally bought it with an IRA. IRA would have had to have enough cash to fund the transaction or received a non-recourse loan fr...
by riverguy
Sun Sep 09, 2018 8:13 pm
Forum: Personal Finance (Not Investing)
Topic: Maxing out a HELOC
Replies: 3
Views: 377

Re: Maxing out a HELOC

Should be no issue. Bank shouldn’t care at all.
by riverguy
Sun Sep 09, 2018 3:53 pm
Forum: Personal Finance (Not Investing)
Topic: $250,000 family loan to parents?
Replies: 50
Views: 4623

Re: $250,000 family loan to parents?

Best option is just to have the parents open a HELOC.
by riverguy
Sat Sep 08, 2018 8:59 pm
Forum: Personal Finance (Not Investing)
Topic: Advice on personal loan options?
Replies: 16
Views: 1090

Re: Advice on personal loan options?

Man what a bunch of downers. How many of our great companies were started by entrepreneurs with some wing-and-a-prayer seed capital and no guarantee of paying it back? OP wants to live his best life (apparently that is freelancing abroad), and I for one intend to help him with his dreams. Thanks, n...
by riverguy
Sat Sep 08, 2018 4:40 pm
Forum: Personal Finance (Not Investing)
Topic: Valuation of Texas Oil lease
Replies: 6
Views: 937

Re: Valuation of Texas Oil lease

[Quoted post removed by admin LadyGeek] [/color] Such awful advice. Now is probably one of the worst times to sell a Permian property due to the oil differentials to WTI. You don't know anything about their property and you are telling them to sell. You don't know: Where it is, what's been drilled,...
by riverguy
Sat Sep 08, 2018 3:27 pm
Forum: Personal Finance (Not Investing)
Topic: Primary Res and Rental Prop MTG gymnastics
Replies: 3
Views: 357

Re: Primary Res and Rental Prop MTG gymnastics

Sell the rental then do what you want. $600 a month in cashflow on that is rather terrible especially if you have 300k in equity in it. If you refi'd to 80% LTV, you'd have 97k in equity in the house. $600 a month on that is a 7.5% levered cash on cash yield. Yuck.
by riverguy
Sat Sep 08, 2018 12:59 pm
Forum: Personal Finance (Not Investing)
Topic: mortgage accelerator?
Replies: 16
Views: 1092

Re: mortgage accelerator?

How do people honestly think these schemes work? Must have never taken a math class. Every month on each loan you are paying interest rate divided by 12 on the outstanding balance. The only way it works is if you are paying off higher interest rate debt with lower interest rate debt.
by riverguy
Fri Sep 07, 2018 5:59 pm
Forum: Personal Finance (Not Investing)
Topic: K1 delay and taxes
Replies: 15
Views: 1374

Re: K1 delay and taxes

Hello A couple years ago, I made an illiquid investment in a crowdfunded real estate partnership. I invested a very small amount ($4000) compared to my net worth ($1.5M, all in Vanguard). Being illiquid, I am not able to get out of it, I’ve been emailing them but it’s obviously not possible. This i...
by riverguy
Thu Sep 06, 2018 3:35 pm
Forum: Personal Consumer Issues
Topic: Short Sale Purchasing [property]
Replies: 17
Views: 1382

Re: Short Sale Purchasing [property]

Hi, I'm in process of purchasing a short sale. I put an offer - and that was accepted by the seller, and passed on to the seller's lender. The Seller's lender performed an appraisal, and it seems that their appraisal came back so high, that the lowest they may allow the sale is still higher than my...
by riverguy
Thu Sep 06, 2018 3:32 pm
Forum: Personal Consumer Issues
Topic: Short Sale Purchasing [property]
Replies: 17
Views: 1382

Re: Short Sale Purchasing

We bought a "short sale", but didn't know about the second mortgage until our offer was accepted. It was a nightmare that lasted 2 and half years...(another story for another day). I'm very interested in your story. Could you please share? Curious about your wording...you didn't know about the seco...
by riverguy
Tue Sep 04, 2018 7:04 pm
Forum: Personal Finance (Not Investing)
Topic: My Understanding of IRS Safe Harbor Rules ...
Replies: 25
Views: 2000

Re: My Understanding of IRS Safe Harbor Rules ...

UpperNwGuy wrote:
Tue Sep 04, 2018 6:28 pm
If you know now that you're going to owe $33,000, why not pay at least $30,000 before the end of the year and get that behind you?
Don't have it now, have better things to do with the money until April, have to make estimated payments if you can't withhold enough, etc, etc.
by riverguy
Mon Sep 03, 2018 8:05 pm
Forum: Personal Finance (Not Investing)
Topic: Recapturing depreciation on rental property upon sale
Replies: 4
Views: 751

Re: Recapturing depreciation on rental property upon sale

Of course you have to recapture it. Why do you think you wouldn’t have to? You don’t get a free ride in a 1031. It’s a deferral not elimination.
by riverguy
Sat Sep 01, 2018 3:25 pm
Forum: Personal Finance (Not Investing)
Topic: keep rental condo?
Replies: 18
Views: 1377

Re: keep rental condo?

Doesn't seem like a bad investment. Basically the house is yours and someone else is paying the mortgage for you. Once that paid off, you will start to see more rental income. And this is why most people don't do well as landlords. Not everything is a good rental. Sell it. Your numbers are extremel...
by riverguy
Mon Aug 27, 2018 10:19 am
Forum: Personal Finance (Not Investing)
Topic: business acct Xfers to Personal Acct
Replies: 9
Views: 502

Re: business acct Xfers to Personal Acct

That kind of activity probably makes it a little easier to pierce the corporate veil. A couple of things that may be worth considering: - Since you are set up to do payroll, you could pay out some bonuses. - If you think her business will continue to be more profitable, an invidual 401k can be VERY...
by riverguy
Sun Aug 26, 2018 6:05 pm
Forum: Personal Finance (Not Investing)
Topic: Buying into an S Corp with my IRA that i work for?
Replies: 4
Views: 427

Re: Buying into an S Corp with my IRA that i work for?

Sure seems like it is a prohibited transaction since it is dealing with your employer.
by riverguy
Sun Aug 26, 2018 8:34 am
Forum: Personal Finance (Not Investing)
Topic: LLC for one rental property?
Replies: 28
Views: 2330

Re: LLC for one rental property?

No it’s not worth it and does not need to be in an llc to receive the tax benefits.
by riverguy
Fri Aug 24, 2018 5:11 pm
Forum: Personal Finance (Not Investing)
Topic: business acct Xfers to Personal Acct
Replies: 9
Views: 502

Re: business acct Xfers to Personal Acct

Mjar wrote:
Fri Aug 24, 2018 2:24 pm
Or am I being too paranoid?
Yep
by riverguy
Fri Aug 24, 2018 8:04 am
Forum: Personal Finance (Not Investing)
Topic: Take auto loan 0.9% if I can afford cash?
Replies: 162
Views: 10699

Re: Take auto loan 0.9% if I can afford cash?

What I don’t understand is why the manufacturers or dealers want to subsidize something that (seems anyway) an inferior deal for them. If you were the manufacturer wouldn’t you rather not finance something at below market interest rates? It makes sense if you get a higher price but from what I unde...
by riverguy
Thu Aug 23, 2018 3:55 pm
Forum: Personal Consumer Issues
Topic: Circuit breaker stays tripped
Replies: 29
Views: 2753

Re: Circuit breaker stays tripped

Since you have replaced the breaker I ASSUME you are comfortable working inside the panel box. If so, remove the wire(s) on the breaker that trips. 1 wire, aka single pole is 120V circuit, 2 wires, aka double pole would be a 240V circuit. With the wires removed from the breaker, flip breaker on and...
by riverguy
Wed Aug 22, 2018 6:49 pm
Forum: Personal Finance (Not Investing)
Topic: Start Up Costs Write Off for Shell Entity - Dollar Limit? Time limit?
Replies: 2
Views: 312

Re: Start Up Costs Write Off for Shell Entity - Dollar Limit? Time limit?

What state are you in that it takes a month or two to get an entity name? Can’t inagine holding onto one for five years when here all you do is pay $100 online and they email it to you...