Chicago Real Estate Investing Blog

By Aaron Zimmerman

Life Cycle of A Fix and Flip

I haven’t gotten the chance to discuss fix and flips quite yet. My apologies to the fix and flip real estate investors for the delay! This article will be a comprehensive article for understanding the tax implications of your fix and flip. There are three main stages of a f...

By Aaron Zimmerman

What You Need to Know For Your 2021 Taxes

The tax world is ever-changing with our complex set of laws, oftentimes yearly. That is why it’s important to stay on top of the latest changes. In this article, I wanted to set the stage for some key changes/provisions that will impact your real estate business: meals, mil...

By Aaron Zimmerman

Passive Activity Losses: What You Need to Know

In this article, I will be discussing the basics of passive activity losses (PALs). This is a very complicated area within the tax code that I want to boil down to its essential elements. In this article I’ll touch on what PALs are, where they are formed, what happens to th...

By Aaron Zimmerman

Life Cycle of A Rental Property

In previous articles, I’ve detailed each stage in the life cycle of a rental property (purchase, rehab, monthly work, and disposition). In this article, I wanted to piece together the entire life cycle of a rental property. I will only be discussing traditional rental prope...

By Aaron Zimmerman

How to Be An Ideal Client For Your CPA

In a recent article, I discussed all the ways your CPA can add value to you. Now, let’s turn the tables around back on you. People like to do business with people they know, like, and trust. Here are four tips for how you can be an ideal client for your CPA.Be OrganizedBein...

By Aaron Zimmerman

The Ways Accountants Provide Value

In this article, I intend to detail some of the ways a great CPA (Certified Public Accountant)/EA (Enrolled Agent) can provide value for tax preparation and the tax planning services. Tax preparation is ensuring you and your rental businesses are complying with the required...

By Aaron Zimmerman

The Inside Scoop on Multi-Member LLCs For Your Taxes

LLCs are frequently talked about within real estate circles. Most people are aware of the asset protection benefits that LLCs provide. However, the important tax implications are not as often highlighted. In this article, I will be discussing key terms, what you need to know abou...

By Aaron Zimmerman

The Closing Statement: A Treasure Trove of Important Information

When you close on a property, at the closing you are going to receive the Closing Disclosure. This will show you, amongst other things, your principal and interest, mortgage insurance, escrow amounts, and cash to close. However, in terms of accounting, there is so much more infor...

By Aaron Zimmerman

Best Practices For Preparing Rental Property Financials For Your Taxes

Following up on the last article I wrote about bookkeeping and the importance of it, it is now time to prepare this information for your tax return. During the year, you will have had many transactions that you need to appropriately classify for your expenses. Whether you’r...

By Aaron Zimmerman

5 Best Practices for Keeping Accurate Records

This is one area that real estate investors often bemoan and dread before tax time. However, it does not have to be that way. There are simple, practical solutions that you can make to keep better records. In this article, I’ll go through why keeping detailed records are im...