Re: Tax Question relating to refinance - Posted by Peter_MD
Posted by Peter_MD on March 21, 2006 at 12:18:29:
Getting cash out of a property before there is a sale is just the same as getting a cash advance from your employer before payday.
At payday, you will still get the same paystub, however, the advance will be withheld and repaid back to your employer and you will get the net pay reduced by the cash advance.
Suggest you consult with a CPA in your area and get professional tax advice. You can get a referral from your local real estate investing club in your area.
Remember, a penny saved … is definitely earned … and keeps you from overpaying on your taxes, lets you definitely sleep well at night, and helps you grow available funds to do more real estate investing deals.
The best to you … don’t go there alone … get a good “team” together with real estate professionals including a good real estate attorney and a CPA.