Investing in Apartment Buildings-Market Cycle and 10/31 Exchange
The beauty of owning apartment buildings is the monthly cash flow. But, there comes a time when you have paid so much into the principle and reach a certain peak that you are no longer able to depreciate the building as much as you would like to. How do you determine when it is the right time to sell?
This is a good question for your accountant to answer, but on the average, it is recommended that you own the building for somewhere between five to ten years. Unlike buying a house, fixing it up, and flipping it to make $50,000, you are buying the apartment building for the cash flow. Look at the market cycles because each city has its own cycle regarding apartments, single family homes and the economy in that particular city. There comes a time when you will be receiving maximum rents, getting maximum depreciation and expenses should be under control. When you are no longer able to depreciate the property quickly enough to enjoy the tax benefits that is the time to do a 10/31 exchange, which is when you sell this first building, by a new building, and transfer the equity and start the depreciation cycle all over again for another five to ten years.
This was taken from an interview between Lance Hood from SuccessInsiders.com and Anthony Chara. For access to Anthony Chara’s teleseminars, go to http://www.successinsiders.com/
SuccessInsiders.com is committed to helping people succeed, both personally and professionally, by providing them with interactive access to an ever growing team of Millionaires and Experts in wealth creation and personal development. By following the guidance and strategies, through interviews, expert Q&A, telecoaching and other resources offered by people who have already succeeded, a person’s chance for success is greatly increased.
How would you like to have access to a Team of Experts willing to share their Insider knowledge with you? Imagine asking some of the greatest minds on earth how to create wealth in all areas of your life. It starts here ==> http://www.successinsiders.com/home.html
CONTACT INFORMATION:
Heather Thomas
(641) 715-3900 ext. 7576941
support@successinsiders.com
Real Estate, Investment, Financing Apartment Buying Purchasing Apartment Buildings
The beauty of owning apartment buildings is the monthly cash flow. But, there comes a time when you have paid so much into the principle and reach a certain peak that you are no longer able to depreciate the building as much as you would like to. How do you determine when it is the right time to sell?
This is a good question for your accountant to answer, but on the average, it is recommended that you own the building for somewhere between five to ten years. Unlike buying a house, fixing it up, and flipping it to make $50,000, you are buying the apartment building for the cash flow. Look at the market cycles because each city has its own cycle regarding apartments, single family homes and the economy in that particular city. There comes a time when you will be receiving maximum rents, getting maximum depreciation and expenses should be under control. When you are no longer able to depreciate the property quickly enough to enjoy the tax benefits that is the time to do a 10/31 exchange, which is when you sell this first building, by a new building, and transfer the equity and start the depreciation cycle all over again for another five to ten years.
This was taken from an interview between Lance Hood from SuccessInsiders.com and Anthony Chara. For access to Anthony Chara’s teleseminars, go to http://www.successinsiders.com/
SuccessInsiders.com is committed to helping people succeed, both personally and professionally, by providing them with interactive access to an ever growing team of Millionaires and Experts in wealth creation and personal development. By following the guidance and strategies, through interviews, expert Q&A, telecoaching and other resources offered by people who have already succeeded, a person’s chance for success is greatly increased.
How would you like to have access to a Team of Experts willing to share their Insider knowledge with you? Imagine asking some of the greatest minds on earth how to create wealth in all areas of your life. It starts here ==> http://www.successinsiders.com/home.html
CONTACT INFORMATION:
Heather Thomas
(641) 715-3900 ext. 7576941
support@successinsiders.com
Real Estate, Investment, Financing Apartment Buying Purchasing Apartment Buildings
Labels: Financing Apartment Buying Purchasing Apartment Buildings, Investment, real estate
posted by Ralph Marcus (Mark) Maupin | 7:35 PM
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