It is December now, and that means the holiday season and the new year is not far away. Before we get into the frenzy of those final days of December, it seems to be a good time to do an end of the year review in your real estate and note investing. Below are a few things that I will be reviewing in these days, and I offer them to you as reminders or food for thought:
Tax preparation- Even though tax filing does not start, early December is a good time to start your tax preparation. Whether you are a real estate property investor or a note investor, get your tax related documents together and/or total them on a worksheet. Review whether it would be advantageous to buy a property or a real estate note before the end of the year. Of course, consult with your professional tax advisor about the same.
Property maintenance- If you own real estate, is there any property maintenance that needs to be taken care of? If you have a vacant property, do you need to make sure that the water is turned off and the home is winterized? Do you need to have the heating system serviced? If you are a note investor and you have a non-performing loan on a property that is vacant, do you need to make sure that a vendor does the same?
Property taxes- In my state, the end of the year is when property taxes are due. Do you have a plan for seeing that payment is made on your real estate? If you are a note investor, is there a responsible party who will see that the property taxes are paid on the property on which you own the note?
End of the year goal review/ Goals for next year- Take some time during this month to review this year. How did you do on your goals? Did you succeed or fall short? Begin to think about goals for the new year. What will your goals be and what steps will you take to accomplish those goals? What other parties do you need to talk to to review this year and set goals for next year?
These are a few things I will aspire to do in these final weeks and days of this year. I commend them to you as a real estate investor and a real estate note investor. Best wishes and continuing success in your real estate and note ventures.- R.L. Wall