The best reasons to invest in real estate is that real estate is:
- appreciating asset
- tax advantages
- banks will easily give you loan unlike a business loan
- cash flowing property; rental
- fix and flips
- capital gains on selling a property and the taxable portion
- estate and trust
Cons
- high down payment
- you can qualify for 5-10% down payment
- VA or FHA loan
- being fixed in a location
- market forces depends on geography
- job numbers
- stock market
- real estate market
Bank Loan
- abide by terms of the mortgage deed
- binding clauses
- foreclosure
- closing costs
- brokerage fee
- private mortgage insurance
- appraisal costs
- inspection
- municipal taxes
- mortgage points
Maintenance
- municipal code
- compliance
- surveying
- set back
- property line
- plumbing
- water supply
- drain
- sewer
- waste
- septic tank
- vent
- traps
- flooring
- carpet
- tile
- kitchen remodel;
- counter top
- granite
- marble
- counter top
- bathroom remodel
- vanity
- bathtub
- shower
- tile
- ceramic
- stone
- glass
- granite
- marble
- toilet
- porcelain
- float tank
- ballcock diaphragm
- float cup-fill valve
- landscaping
- electrical
- telephone
- cable
- fiber optic
- surveillance system
- fire alarm
- lighting
- drywall
- gypsum
- natural gas line
- foundation
- slab
- footing
- grading
- soil condition
- sandy
- clay
- slit
- basement
- crawl space
- problems
- cracks
- sinking caused by uneven loads
- Heating Ventilation and Air Conditioning
- air ducts
- sheet metal
- refrigerant
- attic fan
- roofing
- shingle
- tile
- terracotta
- doors
- wood
- plastic
- windows
- screens
- garage door
- garage spring
- motor
- remote control
- pest control
- insecticides
- termite
- roaches
- mice
- ants
- spiders
- mold
- mildew
- insecticides
- appliance
- fridge
- range
- gas
- electric
- water heater
- dishwasher
- fire code
- shrubs
- debris
- exits
The historical cost basis and depreciation
- MACRS
- schedule
- Straight Line Depreciation
Interest Rate
- variable
- adjustable rate mortgage
- fixed
- 30 year
- 15 year
- fed interest rate
- treasury bond yield
- treasury bill
Rent vs Buy
- Renting
- Buying
Rental Income
- deduct interest
- expenses,
- cost basis in the period incurred depreciation placed in service when you buy property and equipment and is ready to be used.
Neighborhood Crime Data
- Burglary
- Theft
- Manslaughter
- Larceny
- Accident
school rankings
- elementary school
- middle school
- high school
Transportation
- expense
- gas
- commute time
- traffic
- public transport
- walk
- bicycle
- bus
- train
Advice for Tax Purpose 