@MatznerJon@resetbasis I sent you a DM on the details, but as your friend - please don’t do this!
It isn’t a write off, it is a delay of taxes.
Recapture is NASTY. In almost every distressed deal I see, recapture adds to the pain.
Don’t get me started on how poorly a 1031 solves this in real life
@resetbasis Didn’t realize you were a skier to. I can’t DM you, send me a DM if you don’t mind.
I’ve been following you for a long time and appreciate your insights and clever observations.
@coleruudjohnson He’s buying off market from agents and then having wholesalers sell the deals? That isn’t double dipping for the agents if the wholesalers are his Dispositions’s channel. What am I missing?
@shawngorham@GenZMultifamily I don’t know, 10X since 2017, 3X since 2024.
For those who don’t know the difference between appreciation and forced appreciation.
@bairdk Great job Baird and you deserve it!
Why couldn’t you be better forecasting expenses? Just kidding, but curious what expenses drove the significant increase vs. forecast?
Obviously some are a function of the higher than expected revenue (insurance, possibly management, etc.)
Life should move with you. Whether you're renovating, planning a getaway, or test-driving a new neighborhood, we're here to make the 'in-between' never feel temporary. One platform. Hundreds of cities. Wherever life takes you, stay with Landing.
@realEstateTrent Of course, the Wizard of OZ (@DallasAptGP) seems to have found some black magic that truly makes the “loan” disappear entirely…
but that’s a story for another day. (No licensing required on the
moniker.)
@realEstateTrent Cost seg + 1031 can work beautifully… but only if you understand the trade-off and model the phantom income risk.
Ignore it, and you can walk straight into a tax-driven negative-cash-flow situation, in spite of the great investment property.
@realEstateTrent And that matters. A LOT.
Reduced depreciation can turn what looks like a great investment into a cash-flow negative deal because phantom income spikes while real cash flow stays the same.
People forget depreciation is a loan. You have to pay it back.
@realEstateTrent If you do a big cost seg and then 1031, your depreciation basis in the upleg gets crushed.
All that accelerated depreciation on the down-leg reduces your carryover basis, which means far less new depreciation in the replacement property.