196: LLCs, House Hacking, and Saving on Taxes with Brandon Hall

What has five letters but causes so much fear that millions of wannabe investors never get started? That’s right: TAXES. But taxes don’t need to be scary — and understanding and utilizing the tax system can actually help grow your business and help you build incredible wealth. That’s why we’re excited today to sit down with Brandon Hall, a CPA and real estate investor who works exclusively with real estate investors to help them strategize and organize their business in the most cost-saving way possible. We cover Brandon’s real estate journey, including house hacking, LLCs, S-Corps, bookkeeping, and so much more. You’ll love Brandon’s engaging and entertaining personality, and for once in your life, you might even enjoy learning about taxes!

In This Episode We Cover:

• How Brandon realized the need for a CPA through the BP community
• How he grew his firm through the BiggerPockets Forums
• The importance of giving value to others
• The details on his three-unit property
• Tips for hiring a “leverage property manager”
• How to find investors in your community
• The details on his second triplex
• Why he focuses on multifamily
• How he funds his deals through FHA loans
• The way he looks at PMI
• A mistake he is guilty of when it comes to inherited tenants
• Training your tenants and other management hacks
• The tax benefits of house hacking
• Mistakes he’s made in his real estate investing
• Tips for finding a good CPA
• Advice for those deciding whether to use an LLC or not
• What you should know about LLCs
• Things to know about the “real estate professional” tax designation
• When to hire a bookkeeper
• Common mistakes investors make with taxes
• And SO much more!

Links from the Show

• BiggerPockets Meet
• BiggerPockets Webinar
• BiggerPockets Forums (with new leader feature)
• BiggerPockets Bookstore
• BP Podcast 060: From 0 to 68 Rental Units in Just Four Years with Serge Shukhat
• Xero
• Quickbooks
• The Tax Implications You MUST Understand Before House Hacking (blog)
• Looking to Invest Out-of-State? Here’s How to Pick and Analyze a City (blog)
• The Importance of Reserve Accounts (Or What a Surprise Roof Replacement Taught Me) (blog)
• BP Podcast 004: Commercial Real Estate Investing With Frank Gallinelli
• BP Podcast 162: How to Pay Less to the IRS with Amanda Han, CPA
• BP Podcast 005: Dealing with Death – A Financial Discussion with CFP Neal Frankle

Books Mentioned in this Show

• The Book on Tax Strategies for the Savvy Real Estate Investor by Amanda Han and Matthew MacFarland
• The Book on Managing Rental Properties by Brandon and Heather Turner
• What Every Real Estate Investor Needs to Know About Cash Flow… And 36 Other Key Financial Measures by Frank Gallinelli
• It’s Not Rocket Science by Dave Anderson

Tweetable Topics:

• “Don’t try to sell yourself. Let your content sell yourself.” (Tweet This!)
• “You as the business owner should not be in the bookkeeping.” (Tweet This!)
• “The ongoing tax strategy throughout the year, that’s the time to save money.” (Tweet This!)

Connect with Brandon

• Brandon’s BiggerPockets Profile
• Brandon’s Company Website
• Brandon’s LinkedIn

Learn more about your ad choices. Visit megaphone.fm/adchoices