#83 with Mark Perlberg: How to Develop a Tax System to Enable Financial Freedom & Pay Little to No Tax for Real Estate Investing

Millennial Millionaire Real Estate Podcast

English - September 29, 2020 18:44 - 40 minutes - 74.7 MB - ★★★★★ - 56 ratings
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Previous Episode: #82 with Eugene Trowbridge: Managing Syndications for More Than 1000 Investors to Becoming a Securities Lawyer

Next Episode: #84 with Alexandria Breshears: Discovering the Incredible Beneftis of Hard Money to Building a Private Lending Business

In this episode, Jonathan Farber interviews Mark Perlberg on his journey from his first exposure to real estate as a teacher to developing a tax system to enable financial freedom. Mark is a tax strategist recent investor based in Charlotte, North Carolina. In this episode, we break down topics like: FAQs on real estate tax, the tax benefits of real estate, understanding 1031 exchanges, and more!

Top Takeaways:

Real estate tax FAQs - 8:00 - 11:00

Create an entity for your properties or not?

LLCs are the simplest and most effective entities for basic rental property holders

With the right analysis, depreciating assets protect rental income from tax liability

Tax benefits of real estate - 11:15 - 21:00

Depreciation reflects the wear on an asset

Once the property is acquired, its value is realized over time

This means that the expense writeoff is also realized over time

1031 exchanges explained - 20:45 - 30:30

A 1031 exchange is used to avoid realizing the taxes from gains when an asset is sold

It allows 180 days to replace the sold asset with a new asset of equal or greater value