Mayram Aram was on Hedgecock today

[patientrenter]

Hats off to you, nostrad. I admire the self-employed. I just don’t admire anyone who cheats.

Patient renter in OC

[NotCranky]

I used stated incime because I don’t pay myself I am gorwing my RE holdings instead through sweat equity. I don’t take commission when I buy property. Because I would pay inocome and property taxes on it. I am not after money I am after solvency through rents. First step build my own hosue cash w/o pay. Second step use stated income loan to buy properties I see That I can work for free on for 1 year eating 20k of loan proceeds to live on. The things i bring the table in splitting lots,drawing my own plans , operating heavy equipment, and performing more thatn half of the construction and all the management of a house are worth at least 200k a year. I don’t feel bad stating my income at 50%LTV against my assets and nobody else cares.

What lenders do care about now and why the caller couldn’t get a stated income loan is because reserve requirements are now three times stated income and the probably didn’t have it. If I have to pay income tax on my rentals or capital gains on sales as I go I haven’t cheated anybody on taxes.

Before If I am correct state income require a bank acct that showed a little cash flow. I got a 100% LTV state cash out and helor a few years ago so I could live in my hyperinflated house to pay for a splittable lot and start building my new house and sold that at the peak.

Ps: I edited this thing once I hit a key wrong or something and it got lost. I think it makes sense…gotta go.

[NotCranky]

I used stated incime because I don’t pay myself I am gorwing my RE holdings instead through sweat equity. I don’t take commission when I buy property. Because I would pay inocome and property taxes on it. I am not after money I am after solvency through rents. First step build my own hosue cash w/o pay. Second step use stated income loan to buy properties I see That I can work for free on for 1 year eating 20k of loan proceeds to live on. The things i bring the table in splitting lots,drawing my own plans , operating heavy equipment, and performing more thatn half of the construction and all the management of a house are worth at least 200k a year. I don’t feel bad stating my income at 50%LTV against my assets and nobody else cares.

What lenders do care about now and why the caller couldn’t get a stated income loan is because reserve requirements are now three times stated income and the probably didn’t have it. If I have to pay income tax on my rentals or capital gains on sales as I go I haven’t cheated anybody on taxes.

Before If I am correct state income require a bank acct that showed a little cash flow. I got a 100% LTV state cash out and helor a few years ago so I could live in my hyperinflated house to pay for a splittable lot and start building my new house and sold that at the peak.

Ps: I edited this thing once I hit a key wrong or something and it got lost. I think it makes sense…gotta go.

[NotCranky]

I used stated incime because I don’t pay myself I am gorwing my RE holdings instead through sweat equity. I don’t take commission when I buy property. Because I would pay inocome and property taxes on it. I am not after money I am after solvency through rents. First step build my own hosue cash w/o pay. Second step use stated income loan to buy properties I see That I can work for free on for 1 year eating 20k of loan proceeds to live on. The things i bring the table in splitting lots,drawing my own plans , operating heavy equipment, and performing more thatn half of the construction and all the management of a house are worth at least 200k a year. I don’t feel bad stating my income at 50%LTV against my assets and nobody else cares.

What lenders do care about now and why the caller couldn’t get a stated income loan is because reserve requirements are now three times stated income and the probably didn’t have it. If I have to pay income tax on my rentals or capital gains on sales as I go I haven’t cheated anybody on taxes.

Before If I am correct state income require a bank acct that showed a little cash flow. I got a 100% LTV state cash out and helor a few years ago so I could live in my hyperinflated house to pay for a splittable lot and start building my new house and sold that at the peak.

Ps: I edited this thing once I hit a key wrong or something and it got lost. I think it makes sense…gotta go.

[NotCranky]

I used stated incime because I don’t pay myself I am gorwing my RE holdings instead through sweat equity. I don’t take commission when I buy property. Because I would pay inocome and property taxes on it. I am not after money I am after solvency through rents. First step build my own hosue cash w/o pay. Second step use stated income loan to buy properties I see That I can work for free on for 1 year eating 20k of loan proceeds to live on. The things i bring the table in splitting lots,drawing my own plans , operating heavy equipment, and performing more thatn half of the construction and all the management of a house are worth at least 200k a year. I don’t feel bad stating my income at 50%LTV against my assets and nobody else cares.

What lenders do care about now and why the caller couldn’t get a stated income loan is because reserve requirements are now three times stated income and the probably didn’t have it. If I have to pay income tax on my rentals or capital gains on sales as I go I haven’t cheated anybody on taxes.

Before If I am correct state income require a bank acct that showed a little cash flow. I got a 100% LTV state cash out and helor a few years ago so I could live in my hyperinflated house to pay for a splittable lot and start building my new house and sold that at the peak.

Ps: I edited this thing once I hit a key wrong or something and it got lost. I think it makes sense…gotta go.

[NotCranky]

I used stated incime because I don’t pay myself I am gorwing my RE holdings instead through sweat equity. I don’t take commission when I buy property. Because I would pay inocome and property taxes on it. I am not after money I am after solvency through rents. First step build my own hosue cash w/o pay. Second step use stated income loan to buy properties I see That I can work for free on for 1 year eating 20k of loan proceeds to live on. The things i bring the table in splitting lots,drawing my own plans , operating heavy equipment, and performing more thatn half of the construction and all the management of a house are worth at least 200k a year. I don’t feel bad stating my income at 50%LTV against my assets and nobody else cares.

What lenders do care about now and why the caller couldn’t get a stated income loan is because reserve requirements are now three times stated income and the probably didn’t have it. If I have to pay income tax on my rentals or capital gains on sales as I go I haven’t cheated anybody on taxes.

Before If I am correct state income require a bank acct that showed a little cash flow. I got a 100% LTV state cash out and helor a few years ago so I could live in my hyperinflated house to pay for a splittable lot and start building my new house and sold that at the peak.

Ps: I edited this thing once I hit a key wrong or something and it got lost. I think it makes sense…gotta go.

[patientrenter]

Rusty, if someone runs their own business, working hands-on or by managing it, and they think their efforts are worth $100K a year, and they fully expect to see the value of their business to go up at least $100K because of those efforts, then why shouldn’t they pay income taxes on $100K every year, just like everyone else who works that much?

I thought the tax rules for business owners were that, in deciding how much of the annual increase in the business’s value was taxed immediately as income vs later as capital gain, the income had to be a fair value for the owner’s working contribution to the business. It seems to me that if someone is declaring on a loan application that the fair value is X, then the gross amount of income on their tax return should also be X.

I don’t know much about the underlying principles of tax law as they apply to the self-employed, much less the gray area loopholes in practice. What am I missing on the principles part?

Patient renter in OC

[patientrenter]

Rusty, if someone runs their own business, working hands-on or by managing it, and they think their efforts are worth $100K a year, and they fully expect to see the value of their business to go up at least $100K because of those efforts, then why shouldn’t they pay income taxes on $100K every year, just like everyone else who works that much?

I thought the tax rules for business owners were that, in deciding how much of the annual increase in the business’s value was taxed immediately as income vs later as capital gain, the income had to be a fair value for the owner’s working contribution to the business. It seems to me that if someone is declaring on a loan application that the fair value is X, then the gross amount of income on their tax return should also be X.

I don’t know much about the underlying principles of tax law as they apply to the self-employed, much less the gray area loopholes in practice. What am I missing on the principles part?

Patient renter in OC

[patientrenter]

Rusty, if someone runs their own business, working hands-on or by managing it, and they think their efforts are worth $100K a year, and they fully expect to see the value of their business to go up at least $100K because of those efforts, then why shouldn’t they pay income taxes on $100K every year, just like everyone else who works that much?

I thought the tax rules for business owners were that, in deciding how much of the annual increase in the business’s value was taxed immediately as income vs later as capital gain, the income had to be a fair value for the owner’s working contribution to the business. It seems to me that if someone is declaring on a loan application that the fair value is X, then the gross amount of income on their tax return should also be X.

I don’t know much about the underlying principles of tax law as they apply to the self-employed, much less the gray area loopholes in practice. What am I missing on the principles part?

Patient renter in OC

[patientrenter]

Rusty, if someone runs their own business, working hands-on or by managing it, and they think their efforts are worth $100K a year, and they fully expect to see the value of their business to go up at least $100K because of those efforts, then why shouldn’t they pay income taxes on $100K every year, just like everyone else who works that much?

I thought the tax rules for business owners were that, in deciding how much of the annual increase in the business’s value was taxed immediately as income vs later as capital gain, the income had to be a fair value for the owner’s working contribution to the business. It seems to me that if someone is declaring on a loan application that the fair value is X, then the gross amount of income on their tax return should also be X.

I don’t know much about the underlying principles of tax law as they apply to the self-employed, much less the gray area loopholes in practice. What am I missing on the principles part?

Patient renter in OC

[patientrenter]

Rusty, if someone runs their own business, working hands-on or by managing it, and they think their efforts are worth $100K a year, and they fully expect to see the value of their business to go up at least $100K because of those efforts, then why shouldn’t they pay income taxes on $100K every year, just like everyone else who works that much?

I thought the tax rules for business owners were that, in deciding how much of the annual increase in the business’s value was taxed immediately as income vs later as capital gain, the income had to be a fair value for the owner’s working contribution to the business. It seems to me that if someone is declaring on a loan application that the fair value is X, then the gross amount of income on their tax return should also be X.

I don’t know much about the underlying principles of tax law as they apply to the self-employed, much less the gray area loopholes in practice. What am I missing on the principles part?

Patient renter in OC

[NotCranky]

I’t doesn’t work that way so why should I look for principles. I am collecting personal assets through leverage of things I bought with income and assets which i sold and paid taxes for if applicable. When I need to pay I will pay. If I sell something I build I will pay.If I collect rents I will pay.Meanwhile since the mortgage is against and owner occuppied home, when I get it, it is tax deductible. I will use it when my wifes income and mine, outside of these projests requires it.Since we reproduced like rodents that isn’t likely. My tax guy asks me what I did and I tell him.
If I use that money to buy an RV do I pay taxes on it,hell no. So where is the “principles” problem with me putting it to good use? besides I hate working 9 to %. Many people here know and perhaps believe I quit selling RE in 2004. So I work to make a living until my principles allows me to sell RE, which is coming real soon. I got principle on top of my principle Patient.

Now please come back and say wow that’s cool Rus or tell me what I am doing wrong . Don’t jsut slink off because I feel dumped on when people do that. Finish what you started. I will take a lesson if you can teach me one.

[NotCranky]

I’t doesn’t work that way so why should I look for principles. I am collecting personal assets through leverage of things I bought with income and assets which i sold and paid taxes for if applicable. When I need to pay I will pay. If I sell something I build I will pay.If I collect rents I will pay.Meanwhile since the mortgage is against and owner occuppied home, when I get it, it is tax deductible. I will use it when my wifes income and mine, outside of these projests requires it.Since we reproduced like rodents that isn’t likely. My tax guy asks me what I did and I tell him.
If I use that money to buy an RV do I pay taxes on it,hell no. So where is the “principles” problem with me putting it to good use? besides I hate working 9 to %. Many people here know and perhaps believe I quit selling RE in 2004. So I work to make a living until my principles allows me to sell RE, which is coming real soon. I got principle on top of my principle Patient.

Now please come back and say wow that’s cool Rus or tell me what I am doing wrong . Don’t jsut slink off because I feel dumped on when people do that. Finish what you started. I will take a lesson if you can teach me one.

[NotCranky]

I’t doesn’t work that way so why should I look for principles. I am collecting personal assets through leverage of things I bought with income and assets which i sold and paid taxes for if applicable. When I need to pay I will pay. If I sell something I build I will pay.If I collect rents I will pay.Meanwhile since the mortgage is against and owner occuppied home, when I get it, it is tax deductible. I will use it when my wifes income and mine, outside of these projests requires it.Since we reproduced like rodents that isn’t likely. My tax guy asks me what I did and I tell him.
If I use that money to buy an RV do I pay taxes on it,hell no. So where is the “principles” problem with me putting it to good use? besides I hate working 9 to %. Many people here know and perhaps believe I quit selling RE in 2004. So I work to make a living until my principles allows me to sell RE, which is coming real soon. I got principle on top of my principle Patient.

Now please come back and say wow that’s cool Rus or tell me what I am doing wrong . Don’t jsut slink off because I feel dumped on when people do that. Finish what you started. I will take a lesson if you can teach me one.

[NotCranky]

I’t doesn’t work that way so why should I look for principles. I am collecting personal assets through leverage of things I bought with income and assets which i sold and paid taxes for if applicable. When I need to pay I will pay. If I sell something I build I will pay.If I collect rents I will pay.Meanwhile since the mortgage is against and owner occuppied home, when I get it, it is tax deductible. I will use it when my wifes income and mine, outside of these projests requires it.Since we reproduced like rodents that isn’t likely. My tax guy asks me what I did and I tell him.
If I use that money to buy an RV do I pay taxes on it,hell no. So where is the “principles” problem with me putting it to good use? besides I hate working 9 to %. Many people here know and perhaps believe I quit selling RE in 2004. So I work to make a living until my principles allows me to sell RE, which is coming real soon. I got principle on top of my principle Patient.

Now please come back and say wow that’s cool Rus or tell me what I am doing wrong . Don’t jsut slink off because I feel dumped on when people do that. Finish what you started. I will take a lesson if you can teach me one.

[Author]

Posts