Newbie from Akron Ohio

[Joe Forte]

Hello BP World!  

I have lived in the Akron area my whole life.  I currently live about 1/2 hour south-west of Akron.  

I have worked in IT for the past 26 years in various positions, with the most recent as an IT Infrastructure Project Manager.  

About a year ago, my cousin tried to recruit me to join her as a Real Estate Agent, and gave me a book to read "The Millionaire Real Estate Agent".  I skimmed through it, and decided "this isn't for me".  Then I bought "The Millionaire Real Estate Investor" book.  Although it was 15 years old, it peaked my interest.  Last summer I started scouring the web and YouTube for more information on Real Estate investing.  

I subscribed to several YouTube Real Estate channels, and joined a couple REI Forums. Then I joined BP in August and I was hooked!!! I bought 3 books from BP, including BRRR, which I didn't read until after I closed on my 1st house.

I almost signed-up with a turn-key company, but instead bought my first house 2 months ago with a conventional mortgage (20% down), fixed it up, and just placed a tenant last week. During the close period, I discovered BRRRR!!!! I read the book, and I found a podcast on BP (Episode 301 with Alex Felice) that blew me away. I listened to that over and over while fixing up my new investment. About 4 weeks ago, I bought my 2nd investment property with cash. After closing on my 2nd house, I used the knowledge I gained from Andrew Postell's post on "How to: Cash out 1-4 unit Property", to convince my mortgage broker to do a rate-term refi once I finish my rehab on my 2nd house.

He was skeptical at first, but ran it by his underwriter, and they agreed - I had found a legitimate "loop hole" to pull out my money and refi my mortgage with my LLC. So in January, I plan to place my 2nd tenant, pull my money out, and start on my 3rd investment property.

My goal is to have 6 single-family homes by the end of 2020, get to 10 in 2021, then who knows...

Thanks BP world!!  You helped me find my way and my why!!

Joe Forte - BP Pro member for life!!!

[Joe Forte]

@Josh Thomas  Sorry for not responding sooner.  I just wrapped a 4-month rehab project!!  I was able to double the value of the house, and brrrr out all the money I put in.  

I set up the LLC right out of the gate. I needed that to set up my business banking account. Basically I wanted to separate all of my business finances from personal, and put the real estate I purchased into the llc's name, to protect my personal assets. The llc is also needed if you get into BRRRRing, so when you are ready to refinance, you don't have to wait 6 months, to pull your money back out. With the rehab I just completed, I will be able to pull out all of my cash in about 6 weeks. I was able to do this by having my llc lend me "money", as a secured mortgage - putting a lien on the title. Then I went to my lender, and they can do a basic "rate and term" refinance on the existing mortgage.

So yes - I recommend setting up the llc as soon as you are ready to start investing.