Articles

7 Sure-fire Landlord Mistakes … 1 Proven Solution 7 Sure-fire Mistakes 1. Don’t Treat Your Rental Real Estate as a Business Your rental property is a business! This may not be the most profound statement you have heard all day, but it is nevertheless critical to your success as a residential rental property owner. And that means you must be vigilant to manage your business in the pursuit of cash-on-cash ...Read More

As we enter the last quarter of tax year 2019, it’s a perfect time to look at last minute actions you may take to fully realize the benefits of the new tax law as it affects rental property owners.Here are two items worth your time to review … and then schedule a meeting with your tax advisor to determine how either or both may apply to your unique situation. Section ...Read More

The Changing Profile of SFR Landlords Wall Street investment bankers are diligent and alert in seeking new opportunities to create marketable securities. And they did … largely driven by the recession. The vehicle was the issue of salable bonds backed by the asset value and cash flow from the purchase of single-family homes … most acquired at depressed prices. Pre-recession, homeownership rates were 69.2 percent. While it has rebounded slightly ...Read More

A Sense of Urgency Coupled With Caution for Potential Investors Last month, we shared the hypothetical story of Ruth & Jim … a couple who were financially well-off, but who faced the potential for a major capital gains tax bite. As an intelligent move, they sought advice from their trusted financial advisors. That effort led to their learning of a provision of the new tax law that converts long-term capital ...Read More

Welcome News for Owners of Rental Real Estate In September of last year, I published an article in the KRS Holdings newsletter entitled … New Tax Rules – Residential Landlords Are Winners.  I cautioned readers of that article that I am not a professional when it comes to interpreting tax law.That said, you are urged to meet with your tax advisor and seek professional guidance for the specifics of TCJA ...Read More

A story of Ruth and Jim... Ruth and Jim were diligent over the years with their investment discipline. Both had max’d out their 401Ks and provided for higher education funding for both of their kids, own their home free and clear and have a diversified investment portfolio. All-in-all … financially very comfortable! Now they are sitting on a significant payoff in capital gains from liquidating their holdings in common stock ...Read More

Federal Reserve Chairman Tells Congress Federal Reserve Chairman Jerome Powell was clear in his testimony to Congress that the central bank is very likely to cut interest rates in July. He emphasized that the Fed was prepared to act to offset a potential declining economic outlook due to trade tension coupled with a weaker global economy. Adding to this expectation, Federal Reserve Bank of Chicago President Charles Evans said lower ...Read More

Your rental property is a business! This may not be the most profound statement you have heard all day, but it is nevertheless critical to your success as a residential rental property owner. And that means you must be vigilant to manage your business in the pursuit of cash-on-cash return plus increased asset value of your investment. As a business, your “inventory” is floor space. You sell it via rent ...Read More

Note: Savvy SFR Investors Go Where the Competition Ain’t! Our March and April articles this year, focused on my perspective of The 3 R’s of the Economy: Recession, Recovery, Recession.  In my view, we are approaching the end of the peak economic cycle we’ve enjoyed for nearly a decade. That said, I freely admit that my crystal ball is as cloudy as the next guy’s as to when to predict ...Read More

In last month’s article, I admitted to: Being generally pleased with my projections for the economy over the last several years … especially as it has impacted residential real estate investors and tenants. Recognizing signs that the market is slowing and recession is impending as we approach the end of the peak economic cycle we’ve enjoyed these past nine years or so. Having murky vision as I gaze into my ...Read More