OP
extrakt0r
Silver Member
Awesome - I have reached out to them for information.
BTW - I finally heard from Cleary buildings today - not impressed at all - just from what I heard on the phone...
New Land, New Home Build
- Thread starter extrakt0r
- Start date
- Views: 30680
Awesome - I have reached out to them for information.
BTW - I finally heard from Cleary buildings today - not impressed at all - just from what I heard on the phone...
mjncad
Super Member
A guy I used to work with had a Cleary put up on his property, and he mentioned the local dealer wasn't the greatest to work with. Plenty of empty promises and lots of BS as to why ordered options were missing, and so forth.
David P
Silver Member
I would be interested in learning a bit more about your plans for the LLC but more from a cash flow perspective, from start to finish. I may be building a home within the next couple of years and if I am able to deduct material costs that would be a tremendous boon.
However, I just can't see this working out in the end. My statement is built on a few assumptions that very well may be incorrect. Here's what I mean: The LLC purchases the materials and deducts their costs. I believe you will be using the loss from the LLC to reduce your current income from your regular occupation. That part makes sense, although I'm not sure if that works, either. The part where I get hung up comes later, at the conclusion of the build.
You have an LLC that has purchased raw materials and perhaps even hired labor to construct a home. So the LLC owns the materials at this point. How are those materials transferred from the LLC to you personally? Again, I assume you won't be purchasing them from the LLC or there would be a sale which would wipe out the loss inside the LLC.
My gut tells me that the IRS would view this as it is, an individual who is trying to deduct the cost of building his home, rather than being in the home-building business. Granted, my thought process may be way off here but that's why I'm looking for some clarification.
One final point: You have done the necessary legal steps in getting an EIN, etc (and even business cards to make things appear more valid) but the final test may be in the form of a question from the IRS. What is your contractor's license number? In MI (which, again, may be vastly different than your state) contractor's are required to be licensed. An exception to that is for a homeowner who is acting as his own GC. If the IRS requirement is for an individual to truly be in the business for which he is claiming certain deductions, this may hang you up rather quickly.
However, I just can't see this working out in the end. My statement is built on a few assumptions that very well may be incorrect. Here's what I mean: The LLC purchases the materials and deducts their costs. I believe you will be using the loss from the LLC to reduce your current income from your regular occupation. That part makes sense, although I'm not sure if that works, either. The part where I get hung up comes later, at the conclusion of the build.
You have an LLC that has purchased raw materials and perhaps even hired labor to construct a home. So the LLC owns the materials at this point. How are those materials transferred from the LLC to you personally? Again, I assume you won't be purchasing them from the LLC or there would be a sale which would wipe out the loss inside the LLC.
My gut tells me that the IRS would view this as it is, an individual who is trying to deduct the cost of building his home, rather than being in the home-building business. Granted, my thought process may be way off here but that's why I'm looking for some clarification.
One final point: You have done the necessary legal steps in getting an EIN, etc (and even business cards to make things appear more valid) but the final test may be in the form of a question from the IRS. What is your contractor's license number? In MI (which, again, may be vastly different than your state) contractor's are required to be licensed. An exception to that is for a homeowner who is acting as his own GC. If the IRS requirement is for an individual to truly be in the business for which he is claiming certain deductions, this may hang you up rather quickly.
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EddieWalker
Epic Contributor
Of all the types of buildings out there, a pole barn is the easiest and simplist to build. Plenty of guys have built their own without any other experience. I've seen experienced crews do them in less then a week, and impress me with the quality of their craftsmanship.
The big name companies have it figured out pretty good what it takes to build a nice building, and how to keep the materials cost to a minimum. They have payroll for thier workers, their office staff and those who run the company. Lots of overhead, which will always put them at the top end of the price.
A local contractor with a couple of workers can do the same job for less. What you need to do is put in the footwork in finding several of these guys and talking to all of them. Look at their work and compare apples to apples.
If you see a nice looking shop on somebodies land, go to the house and ask the owner who built it. Ask if they would use that person again. And most of all, ask what they did right, and what they did wrong. Learning that will give you insite into what you really want over what you think you might want. This always changes from before you build, to after you've had it for awhile.
Eddie
The big name companies have it figured out pretty good what it takes to build a nice building, and how to keep the materials cost to a minimum. They have payroll for thier workers, their office staff and those who run the company. Lots of overhead, which will always put them at the top end of the price.
A local contractor with a couple of workers can do the same job for less. What you need to do is put in the footwork in finding several of these guys and talking to all of them. Look at their work and compare apples to apples.
If you see a nice looking shop on somebodies land, go to the house and ask the owner who built it. Ask if they would use that person again. And most of all, ask what they did right, and what they did wrong. Learning that will give you insite into what you really want over what you think you might want. This always changes from before you build, to after you've had it for awhile.
Eddie
jonnysteals
Bronze Member
- Joined
- Dec 16, 2009
- Messages
- 68
I don't know where your located by I got my 30-40-12 pole barn from diypolebarn.com. I have a single 12-10 slider and a 36 inch door. I have a 12inch overhang on all four side. The building was 7200 delivered. I put the building up myself but they now offer installation. I think them putting the building up would have been 3200 bucks. You can get the building installed for under 11k from diypolebarn.com check them out it was a pleasant experience and would by from them again. I actually am beginning to save for a 40-60-14 next.
mjncad
Super Member
I got a dead link for diypolebarn.com as it just took me to an URL aggregating web site.
Depmandog
Veteran Member
- Joined
- Nov 26, 2010
- Messages
- 2,038
- Location
- Buckner MO, LaPlata MO
- Tractor
- 2005 Kubota L5030 GST; Farmall 706, 756, 806 & 1086
Gil A
Member
Congratulations on purchase. The old farm boy retired in 97 and returned to the "land". Purchased an old farm and built barn and house. Was own general contractor. Live about 50 miles from KC, down I-70, so if I can be of any help please let me know. One suggestion (but this may apply to those who may plan on living in same house for rest of days), have all inside doors, except closets, at least 36 inches. May need for wheel chair access later in life. And build in anchor 2xs inside wall by bathroom stool so if need to install assist bar later it will have a firm anchor. Another tip is install a drawer UNDER the dishwasher, thus the washer will be at a height where it is easily loaded from a standing position. (Bottom of washer is about 18 inches off the floor.) My wife loves that.
Regards, Gil
Regards, Gil
Pixguy
Elite Member
Gil A said:
Yikes! Here we go again........... ;-)
mjncad
Super Member
BINGO! Thanks!
