VA Certificate For Pre-construction Condo
can anyone tell me the advantages/disadvantages of using a VA Certificate to purchase a pre-construction condo in the florida area; say, 2 or 3 BR with studio for owner occupant?
hinestro,
Thanks for the advise. I was kind of thinking along those same lines, but I also wondered if I was missing something.
Having cash backup to make the payments would relieve some stress and also might help me not become too over anxious and jump at the first offer that comes along for the flip.
Even though I hate the thoughts of being in debt to anyone, I know that many of the real estate gurus have made their fortunes with leverage.
Does anyone know if the interest from an interest only loan would be tax deductible, or would you just subtract the interest paid from the profit made to figure capital gains? Would there also be a difference between a condo held as a second home versus an investment in relation to taxes?
I noticed from your past posts that you are also looking into condo pre-constructions. Any luck yet?
from what i understand u can not write off interest on a loan against a investment property, only your primary residence, that is why a cash out 1st on your primary is neccesary. normally thier is a fee, if you want to buy down the interest rate normally it is worth while if you keep that loan for more then 4 years. as for any investment property i believe u write it off over 27 years, even commercial, because uncle sam believe it loses value over time, and in 27 years it is worthless, while it actual increase. go to www.bankrate.com and compare firsts and call them to do and see the cost due at closing, title work apprasial ect. i work at us bank and i believe 5.85 for no fees
[ Edited by Mize on Date 04/25/2005 ]
whats up Mojjo
Im in Sac too.
Im partners with a lic. architect .
(me, im taking the ca. state architects exam)
right now we do remodels and custom homes.
We also know very welll a Lic. P.E. Structural Engineer, Lic. Electrical engineers. and so on...
also have stucco crew, and various other trades at our disposal.....
I really want to get into REI
lets talk if you want..........