Interesting points..
89coupe where are you for this topic?
Interesting points..
89coupe where are you for this topic?
Originally posted by beemerm3
so if we only seen 5 % of the oceans why not drain them or somethin lol or can u even transfer water from one ocean to another??? think of all the stuff u'd find treasures n eerything.
You know that is fraud right? Specifically mortgage fraud with the possibility of criminal charges...Originally posted by JDMsomething
EDIT: Also I would like to add, it is pretty easy to find $50,000 when you have a good deal. I have even borrowed money @ 30% short term privately just for the downpayment. If you only hold the money for 3 months that is really only $3750 in interest.... which is cheaper than CMHC.
So mortgage fraud and tax fraud to boot. Looking forward to the follow up posts about the CRA and the RCMP.Originally posted by JDMsomething
I guess I fail to see where the risk is. I bought a property ~90,000 under market value to begin with. Put in some time + $ and made a nice $100,000.00 TAX FREE and ongoing cash flow of $1500 per month, with an asset worth 430,000 with ~60,000 equity. AND I now have none of my own money left in this deal it is all pulled out.....Where is my risk again?
Last edited by mazdavirgin; 04-09-2011 at 08:59 AM.
I don't understand how you are getting 1200$ cashflow from it. Isn't that money (or most of it) going towards paying the mortgage and municipal property taxes?
Porsche 944S2 Cabrio
Agreed on the mortgage fraud. If he lives there for a period of time it could be tax free but the way he is talking it doesnt seem like it.Originally posted by mazdavirgin
You know that is fraud right? Specifically mortgage fraud with the possibility of criminal charges...
So mortgage fraud and tax fraud to boot. Looking forward to the follow up posts about the CRA and the RCMP.
Originally posted by bitteeinbit
I don't understand how you are getting 1200$ cashflow from it. Isn't that money (or most of it) going towards paying the mortgage and municipal property taxes?
Should be so you dont really have cash flow....
Originally posted by adam c
Line goes up, line goes down, line does squiggly things and fucks Alberta"The stone age didn't end because we ran out of stones"
No it isn't fraud at all. You do not know how the deal was structured so why jump to conclusions?Originally posted by mazdavirgin
You know that is fraud right? Specifically mortgage fraud with the possibility of criminal charges...
So mortgage fraud and tax fraud to boot. Looking forward to the follow up posts about the CRA and the RCMP.
So if a seller decides to keep 20% of his equity in the deal and charge me 30% short term. I only need to get a mortgage for the remaining 80%, everything is disclosed to the bank, and they don't care because they are in first position. Everything is disclosed and done by lawyers.
AND you can buy a property with a joint venture partner where one partner puts up the down payment, closes on the property with you and the other qualifies. There are plenty of ways to construct a deal.
Secondly....when you BORROW MONEY ITS TAX FREE, pretty simple concept. Yes, I will have to pay some taxes on the cash flow I am making But after expenses it is minimal, and it is not a huge chunk up front.
Edit: All deals go through a minimum of 2 different sets of lawyers, the buyers and the sellers. Nothing sketchy goes on you just need to know how to structure them.
Last edited by JDMsomething; 03-07-2015 at 03:32 AM.
If you put the person you borrowed the funds from on title, that is different than stating you borrowed funds at 30% short term for a DP. It is mortgage fraud to borrow funds and claim them as your own for a DP on a house. Banks/mortgage brokers may choose to look the other way (even if you tell them) because they want to get the deal done.Originally posted by JDMsomething
No it isn't fraud at all. You do not know how the deal was structured so why jump to conclusions?
So if a seller decides to keep 20% of his equity in the deal and charge me 30% short term. I only need to get a mortgage for the remaining 80%, everything is disclosed to the bank, and they don't care because they are in first position. Everything is disclosed and done by lawyers.
AND you can buy a property with a joint venture partner where one partner puts up the down payment, and the other qualifies. There are plenty of ways to construct a deal.
Edit: All deals go through a minimum of 2 different sets of lawyers, the buyers and the sellers. Nothing sketchy goes on you just need to know how to structure them.
http://www.cbc.ca/news/canada/calgar...raud-bank.html It doesn't matter how many people it goes through - the deal can still be sketchy.
Rich Dad, Poor Dad - from what I gather now after doing a little research just like any pyramid/multi lvl marketing scheme. Doesn't work for 99% of the people and 1% who it does, promotes the program big time. At first I thought the guy was offering legit advice like - you don't need to pay $100/month for cell phone services you dont need.
J
The scam in that story involves people creating fraudulent documents to make it look like these immigrants can qualify for mortgages, and then leaving the people on the hook, and they get foreclosed. Which is a lot different then having a partner in the deal.Originally posted by Mys73ri0
If you put the person you borrowed the funds from on title, that is different than stating you borrowed funds at 30% short term for a DP. It is mortgage fraud to borrow funds and claim them as your own for a DP on a house. Banks/mortgage brokers may choose to look the other way (even if you tell them) because they want to get the deal done.
http://www.cbc.ca/news/canada/calgar...raud-bank.html It doesn't matter how many people it goes through - the deal can still be sketchy.
Rich Dad, Poor Dad - from what I gather now after doing a little research just like any pyramid/multi lvl marketing scheme. Doesn't work for 99% of the people and 1% who it does, promotes the program big time. At first I thought the guy was offering legit advice like - you don't need to pay $100/month for cell phone services you dont need.
With regards to Rich Dad, it is not a pyramid scheme...they do not try to get you to sell their products or sign up or recruit people. It is basically paying for specialized real estate and financial courses. You are right, most people learn this stuff.....and then do nothing.
That is their fault for not taking action, not the programs fault.
I'm not going to read 3 pages so someone may have said this already, but the book is absolutely useless.
What The Game is for picking up girls is what RDPD is for making money. It's for people with low self esteem and little drive, it's geared towards getting you in the proper state of mind to make money. If you're a confident person then you'll brush this book off as a joke. Same goes with The Game, if you're good with people and confident then it won't make you a super pimp, it's for socially awkward people.
We stopped checking for monsters under our beds when we realized they were inside us.
Wow. You need an accountant. The interest is deductible, the gains made with the borrowed money are fully taxable.Originally posted by JDMsomething
Secondly....when you BORROW MONEY ITS TAX FREE, pretty simple concept.
If you go to the bank...and get a loan for $1000 dollars....how much tax free money do you put in your pocket?Originally posted by CokerRat
Wow. You need an accountant. The interest is deductible, the gains made with the borrowed money are fully taxable.
Yawn all these assholes are the same. HEY EVERYONE ILL TELL YOU HOW TO GET RICH RIGHT NOW GIVE ME $20.00!!
All the junk they preach is all the same and provide nearly no valuable information but instead repeat the same old junk that I don't understand how people don't already know.
Don't use credit: OH WOW THANKS
Don't over spend: OH WOW THANKS AGAIN
Invest your money into a X idea: AMAZING
Working hard doesn't actually get you wealthy: ZOMG!!!!!11111111111111111111111111111111111111111111111111111111111111111111111111111
It seems like you think that because you are being given money, you should pay tax on the receipt. Not having to pay tax on a loan the gross amount of which (plus interest on the borrowed amount) you're going to ultimately have to pay back doesn't make it a good deal. That's just the fundamentals of how loans work.Originally posted by JDMsomething
If you go to the bank...and get a loan for $1000 dollars....how much tax free money do you put in your pocket?
I don't really understand the first part of what you are saying.Originally posted by tenth
It seems like you think that because you are being given money, you should pay tax on the receipt. Not having to pay tax on a loan the gross amount of which (plus interest on the borrowed amount) you're going to ultimately have to pay back doesn't make it a good deal. That's just the fundamentals of how loans work.
But the reason it is a good deal is because, as I have already mentioned...who is ultimately paying the loan + interest back? The tenants.
Does anyone know roughly how much percentage of interest you can tax deduct on your personal income tax? Say you have a 10 000$ loan with 10% interest, and you didn't pay anything back. You thus paid roughly 1000$ in interest. How much of that can be deducted? I've never borrowed any money so I'm just curious. I know corporations can get big ones but what about personal inc. tax?
Porsche 944S2 Cabrio
errr nothing.Originally posted by bitteeinbit
Does anyone know roughly how much percentage of interest you can tax deduct on your personal income tax? Say you have a 10 000$ loan with 10% interest, and you didn't pay anything back. You thus paid roughly 1000$ in interest. How much of that can be deducted? I've never borrowed any money so I'm just curious. I know corporations can get big ones but what about personal inc. tax?
Originally posted by adam c
Line goes up, line goes down, line does squiggly things and fucks Alberta"The stone age didn't end because we ran out of stones"
What did you do with the loan? Personal purchases? Nothing. Used to earn income from a business, investments, or property? The full amount of the interest.Originally posted by bitteeinbit
Does anyone know roughly how much percentage of interest you can tax deduct on your personal income tax? Say you have a 10 000$ loan with 10% interest, and you didn't pay anything back. You thus paid roughly 1000$ in interest. How much of that can be deducted? I've never borrowed any money so I'm just curious. I know corporations can get big ones but what about personal inc. tax?
WHAAAAAA?! No, I've never taken a loan in my life (well, besides from parents). So you're saying if you borrow money from the bank, say 10 000$ and invest it in a mutual fund you'll get a full 1000$ tax deduction?! That sounds too good to be true, everyone would be borrowing a ton of cash non-stop. So interest from a mortgage is tax deductible as well? Doesn't sound right.
Porsche 944S2 Cabrio
Meh i went to this seminar. All i really got out of it was if you have enough money buy some property and you will get richer. if you poor befriend a rich guy and he will pay for your property. I didnt stay because it was dragging on and on and im in the poor guy category. Oh and also don't leave your phone on ring, That seriously pisses the guy off
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I've read Kiyosaki's books. I have to say that some of the principles are sound, but you certainly don't have to pay thousands for the advanced courses to obtain that knowledge. Many successful individuals write books and advertise various methods, schemes and processes to generate income. I have relatives and family members that own multiple properties, and they have given me some rather valuable information free of charge. They also tend to have my well being in mind more than some guy who charges $10K for specialized courses. Just saying.
My advice for anybody wanting to get wealthy in real estate is to get someone you know personally who is successful at it to show you the ropes. If you are on good terms with them they will probably show you the ropes for a far cheaper rate. Some relatives I know ask that you only invest your time and take their input seriously. Seniors are better because they will be more inclined to dole out free advice to kids or grandkids as a benefit to spending time with them.
I know millionaires that have no formal education, but they have undoubtably learned SOMETHING to make it to where they are today (and they didn't take any seminars either). How did they get their knowledge? The answer is simple.
My two cents.
The general idea of income from a business/rental property/etc is expenses used to earn income are deductible for tax purposes. If you're not earning income from your mortgage (rental property, business, etc), then no your mortgage interest is not deductible.Originally posted by bitteeinbit
WHAAAAAA?! No, I've never taken a loan in my life (well, besides from parents). So you're saying if you borrow money from the bank, say 10 000$ and invest it in a mutual fund you'll get a full 1000$ tax deduction?! That sounds too good to be true, everyone would be borrowing a ton of cash non-stop. So interest from a mortgage is tax deductible as well? Doesn't sound right.
If you have a 10% interest rate on the loan, then yes you would get the full $1k tax deduction to offset against investment income. Everybody's not doing it because if the rate of return on the investment is lower than the interest paid, you're still losing money. Using your example, you'd still need a return on your investment of 10% just to break even, which is certainly no guarantee.