What You MUST Know about Creative Finance Tax Benefits
Does tax season stress you out, especially as a business owner?
You’re not alone, trust me.
We’re still a little ways ahead of April, but the start of tax season is absolutely here. And one question I always get is – “Pace, are there any types of tax benefits for creative financing?”
And the answer is “Yes! Absolutely there is!”
And I talked about it on REI Education Academy, which you can check out below:
For a lot of wholesalers, when they make $100K or more on their sales, they’re often blindsided by the fact that they now have to pay like $40-60K in taxes.
Guys, one of the best things about using creative financing for real estate is you aren’t spending more money than what you’re taking in.
When tax season comes, I still pay $10,000 in taxes because I pay myself about $35,000 for salary; however, I’m not paying thousands of dollars in taxes. How?
Creative finance, like sub to or seller finance, can completely obliterate your tax debt. 100% just take your tax debit away.
Because you’re getting a consistent cash flow from the properties that you’re collecting depreciations on.
Essentially, you’re keeping much more money in your pocket versus the amount of money that you’re paying in taxes.
Now, this doesn’t happen overnight.
But when you start to build up your real estate investing business, you can absolutely take advantage of growing your income and not having to spend a fortune on taxes.
I can’t stress this enough – creative financing is the way!
You make more money, you get more opportunities, you get to build cash flow, and best of all, you get to keep every single penny you earn.
How is that not awesome?
Guys, if you’re serious about making more and building up a business you enjoy and want to go to work on, then let’s go.