The IRS allows you to take tax deductions for any legitimate expense related to running a rental property. If you own rentals, you can claim expenses in 12 categories spanning everything from interest, to insurance, repairs, and depreciation. However, you must record them, according to IRS guidelines. To ensure you’re taking advantage of all the…
About the Author
Michelle Ivy
Michelle is a licensed real estate broker owner and staff writer at Fit Small Business, specializing in real estate investments. She is also COO of a global investment firm that specializes in infrastructure financing. Prior to joining the Fit Small Business editorial team, Michelle owned a Registered Investment Advisory firm and participated in real estate flip projects as a principal investor. When Michelle isn’t writing or advising she enjoys traveling, pilates, and spending time on the water in Charleston, S.C.
Portfolio Loans: Rates, Terms, Qualifications & Where to Find
A portfolio loan is used to finance properties with one to five or more units in good or poor condition or to purchase multiple properties at one time. Portfolio loans are generally used by investors to purchase residential real estate. There are four types of portfolio loans, and rates generally start around 3.25% to 4%….
Home Equity Line of Credit: What It Is & How to Get One
A home equity line of credit (HELOC) is a revolving line of credit collateralized by your home. The maximum limit for a HELOC is based on the amount of equity in your home and typically will not exceed 85% of the home’s value. HELOCs have relatively low interest rates with current rates starting at 5.25%….
How to Screen Tenants for a Rental Property in 8 Steps
Landlords should know how to screen tenants by running credit checks, verifying income, confirming employment, conducting criminal and other background checks, and verifying prior landlord and residence histories to assess whether a prospective renter will make a good tenant. Proper screening helps landlords avoid the common problem of accepting applicants who end up being problematic….
Rental Application Form [+Free Templates]
A rental application form is completed by a prospective tenant who wants to lease a property. It’s used by property owners to screen tenants and decide if they qualify to rent the property. We’ve developed several free rental application templates that you can use for single-family homes, vacation rentals, or apartments. Avail is one property…
30 Tips for Buying Your First Rental Property From the Pros
Buying your first rental property is a major investment and can be a lucrative one. However, take it from the professionals that some precautions should be taken. Do your research, take your time, and read the tips we have provided from nationwide pros in the real estate industry on buying your first rental property. Here…
11 Best Tenant Screening Services 2019
Tenant screening services are used by landlords, property managers, and realtors to assess potential tenants and perform tenant background checks. We looked at the most popular options and rising stars and then reviewed them based on pricing and features. The best option is going to be affordable and offer the most benefits for the price. Top…
How Much Does It Cost to Flip a House? 4 Key Factors to Consider
The cost to flip a house equals the sum of the acquisition cost, repair costs, carrying costs, marketing costs, and sales costs. Costs vary based on where the home is located, property type, and the extent of the renovations needed, but the total cost to flip a house is usually around 10% of the purchase…
Free Month-to-Month Rental Agreement Template
A month-to-month rental agreement outlines the terms of the lease, such as the rental amount and security deposit. It should also include the landlord and tenant responsibilities. While the specific contents of month-to-month rental agreements vary by state, there are three basic rental agreement templates you can use based on property type like single-family, multifamily,…
3 Ways to Flip Houses With No Money Down
There are ways to flip houses with no money but be prepared to bring value in another way like wholesaling property by assigning contracts, building a private investor network, or giving up equity in another residence. Flipping houses with no money requires creativity, sweat equity, and the ability to take on risk. If you have…
Flipping Houses Taxes: Capital Gains vs Ordinary Income 2019
Flipping houses is generally not considered passive investing by the IRS. Tax rules define flipping as “active income,” and profits on flipped houses are treated as ordinary income with tax rates between 10% and 37%, not capital gains with a lower tax rate of 0% to 20%. Taxes on flipping houses will usually include self-employment…
5 Best Real Estate Portfolio Lenders 2019
Portfolio lenders keep their loans on their balance sheet, rather than selling them or following Fannie Mae guidelines. Portfolio lending offers flexible borrower qualifications and fast closings so investors can compete with cash buyers. We reviewed the most popular national portfolio lenders and chose the top five considering rate, terms, property types, and qualifications. Top…
