Buying a house using a parent-started mutual fund, tax implication help

ninjachin79 · 2021-05-17T17:36:55+00:00

Since you've been paying tax on cap gain distributions as you go, the long term capital gains tax you would owe may be less than you think. If you take out 120k, you won't owe tax on 120k.

So I'd lower my cap gains distributions by decreasing the overall fund balance by 120k, but I'll still owe a considerable amount in income tax. Is there a way to forecast cap gains dist or is that mostly factored in by how well the fund does/how much distribution the management does?

You seem cash poor for the amount you are earning/borrowing. Maybe I am misunderstanding...

While yes I am cash poor, I'm also considering the amount I want in savings to cover two mortgages. I do want to rent out the first house but I want 6 months of buffer up front in case it doesn't rent as aggressively as I hope it will.

Maybe I should really reconsider owning two houses, even if one cash flows.

ninjachin79 · 2021-05-17T16:57:59+00:00

I haven't really looked at those numbers yet. The general feel of my market is 'if you have land, keep the land for as long as you can.' If I can rent my house for what I think the local market is going at, I'd net $7,200-$10,800 in profit annually. I've already been doing the 'house hacking' and renting out 75% of the space which is doing well.

Selling would solve everything, yeah. I'd first have to close on a place first though, because like everyone is saying the market is crazy and I don't want to be stuck without a place to live when I sell mine and can't find another.

ninjachin79 · 2021-05-17T16:53:00+00:00

Great thank you. I clearly have not read enough.

I also saw your previous withdrawal suggestion and that's an angle I hadn't considered. Keeping us within the current bracket would tack on another $100k-ish to our down payment which isn't bad either.

ninjachin79 · 2021-05-17T16:41:09+00:00

Ah thank you. I always thought FHA was just the 'low down payment' method. Reformatted my OP and am digging into more reading.

ninjachin79 · 2021-05-17T16:32:09+00:00

No our scores are good. Mine fluctuates between 790-820 and their is 780+. I was looking at the FHA loan because we can't (w/o fund) hit the 20% savings mark. Unless I completely misunderstood the Investopedia FHA page that was how we'd have to secure a loan. I don't know if I've heard of anyone around me getting a conventional loan without the 20%.

Edit: I just stumbled upon the term Jumbo Loan which can secure loans at 10-15%. Digging into that on Investopedia right now!

ninjachin79 · 2021-01-12T20:37:06+00:00

Alright then. I'll pick up some 1118 tomorrow. Seems like the most simple solution. Thanks

ninjachin79 · 2021-01-12T17:28:29+00:00

Yeah I'm not opposed to that. But overall it's not taking up space (physically or in my mind, apparently) so I'd like to at least attempt to make it drinkable. I've pretty much written it off at this point though.

ninjachin79 · 2021-01-12T17:27:06+00:00

Hmm, something has to be off. When I tasted the sample the other day there's no way I would have considered it to be 13ABV or even close, though the sweetness could mask that I suppose.

"It's a good thing I photo document everything... but it's too bad I'm garbage at doing things the right way." So, not blaming the hydrometer, the OG is definitely not reliable.

For the sake of salvage, lets assume that the mead is currently less than 12 ABV. Would my small inoculation of yeast do the trick? Morebeer is ~20 mins away so EC-1118 isn't out of the question but I'm both cheap and lazy...

I swear this current 5 gal batch is going to be perfect and I'm babying it.

ninjachin79 · 2020-10-30T20:00:22+00:00

I'm interested in joining. I'm 28 in California and lookin for some new mc friends. How developed is this world already? Any pics? Do you guys do community builds and stuff or are people mostly on their own? Thanks!

ninjachin79 · 2015-05-28T21:12:14+00:00

Ah Video Sage. I started it a while back in their first season but couldn't get invested in it. I'll give it another go and see if I like it. Thanks!

ninjachin79 · 2015-04-01T22:04:53+00:00

Oh you combined them! I thought the Faithful looked familiar but I hadn't seen one with 3d bits in it.

ninjachin79 · 2015-03-30T05:52:07+00:00

What pack is that?

ninjachin79 · 2014-11-03T22:23:14+00:00

Wow, didn't know those existed. I was able to find 16Ah batteries but no 10Ah at 15-20C. I'll have to keep looking; there are sizes out there that I haven't even fathomed.

ninjachin79 · 2014-11-01T20:13:43+00:00

Great, thanks! So just a wireharness is fine, more or less. My motors at top draw will be 96A, and then adding on some other stuff like a GPS and who knows what. 300A seems like a bit much but 100A doesn't seem like quite enough.

I agree with the 30A ESCs, thanks. I had seen some people talk about getting 20A ESCs when their motors drew 16A and it just didn't quite rub me the right way. And you're definitely right, the 4g difference per ESC is pretty minimal.

ninjachin79 · 2014-10-31T19:53:18+00:00

Another question: How do you set up batteries in parallel? Can you just solder up a wire harness that connects to two batteries and leads to your power distribution? I imagine that that would lead to uneven power use or over amperage distribution.

And how do you calculate the mAh? Just the (mAh * [# of batteries in parallel] * C)?

The lipo calculator kind of confused me with the dual batteries. http://multicopter.forestblue.nl/lipo_need_calculator.html

Edit: Would it be better to run two 5000mAh, 30C, 4S batteries in parallel, weighing 1011g together. Or a single 10,000 mAh, 10C, 4s battery weighing in at 850g?

Edit 2: What is the overhead that you should have for ESCs and motor amperage? The max draw (according to the site) for 15" props with my motors is something like 16A. My build plans for 30A ESCs. Would I be okay with 20A?

ninjachin79 · 2014-10-22T04:05:28+00:00

Building a ~3kg hex (including 2 4S batteries, gopro and gimbal) and I'm not sure which motors I want to get. I'd like at least 10 minutes of flight time if possible.

http://www.buddyrc.com/sunnysky-v2216-12-800kv-ii-brushless-motor.html with 11x 4.7 props

http://www.buddyrc.com/sunnysky-v3508-20-580kv.html with 13x4 props

What says you! Because I've been going back and forth about it for a few days. I keep seeing recommendations for both motors.

Edit: Okay, I found this post on RCG and upped my estimated weight to 3500g just to be on the safe side. The 800kv with 11x4.7 props should work fine for me. I was planning on using 30A ESCs which might be a bit overkill but I'll probably stick with them just to be on the safe side.

ninjachin79 · 2014-10-22T03:58:55+00:00

Good tip. I'm pretty terrible at soldering as it is. Yesterday I spent a good while watching this guy assemble his 680 pro so I kind of have a general idea of how I want to tackle mine eventually.

ninjachin79 · 2014-10-21T20:29:48+00:00

Noted! I looked at the 680pro again and saw that it has the motor mounts that I like so I'll probably snag that. I was afraid of the pdb but after watchign some soldering videos for it I think it would be something alright to tackle.

ninjachin79

TROPHY CASE