All Forum Posts by: Angela P.

Has anyone had any experience with this company? Curious to know how it's going and if it's a good alternative to selling my properties or trying to do a 1031 down the road. 

Curious how everyone is still feeling about Atlas? Considering going with them.

@Dave Foster - thank you very much for taking the time to respond! 

This breaks down each question for me in detail - very helpful. I've learned a ton from you guys so far!

@Wayne Brooks,

Thanks for taking time to respond. So I see now that I'll have some boot. I had in my head that I was only deferring the profit, not the full value. If I see two of them for $600k (or as you say $550k after costs incurred) I will have to pay on the $75K. If I were to sell those two and buy nothing, wouldn't I have approx $315K of profit taxed? 

Wouldn't $75K be better than $313K? I am sure I am missing a factor here - if you are saying that paying tax on the $75K isn't worth it - might just need some more information for what I am missing here. 

Thank you!

Hi @Bill Exeter - Thank you! Wow, that is great information. Actually works out better as I can just sell 2 of the three properties instead. 
I will need to take out a loan for the remaining cost of the land for the difference - is that OK and would those loan funds just have to go to the intermediary?

I think the primary intent is truly to hold for investment - we don't foresee leaving our home, and frankly I am not sure if we did leave we would have any interest in a custom build from scratch so I don't see that as an issue. 

I believe the ONLY way to do this appropriately is to use an intermediary - this is required right? Presume that is what your company does? Other than commissions to sell the two rental properties, and closing costs on buying the land investment - what kinds of fees from other arenas am I looking at? Presume the intermediary is a costs - how can I ball park this? Any other costs I should be aware of? I would hate to sell these properties, just to figure out that we didn't have enough money after everything is taken out to buy the land. 

Thank you!

Hi Everyone - here's the facts, can someone help me understand if I am going to run into any issues or if this will work and I should pursue? 

I have three rental properties I am interested in selling and buying raw undeveloped land (for investment for at least a few years - and then I will either sell it, or I will build on it and use as my future primary residence). 

Property 1 - $305k value, $146k debt = $159k equity (**note, this was once my own personal residence, has been a rental for 7 years-does this matter??)

Property 2 - $307k value, $155k debt = $152k equity - held for 5 years

Property 3 - $298k value, $136k debt = $162k equity - held for 3 years

Purchase property - undeveloped land - for sale for $475k 

Questions:

Is it as easy as selling the rentals, sending the cash to the intermediary, identifying that I want to buy the land, having the intermediary buy the land with the cash? 

If I hold the land for a few years (how many?) and then decide I want to make it my personal home - do I indefinitely defer the gains on the rental properties?

Thank you in advance for your guidance!

Angela

You are all so wonderful. I love this site. First off thank you all for your advice and opinions. Sorry it's taken me all day to respond back.

To answer most of your questions:

I don't yet have a deposit from them, but that was more a delay on my part. The "back and forth" I mentioned was getting them to answer additional questions I had on the credit check that came back, as well as better contacts at their prior apartment complexes. I was not in negotiations about the lease contract. Mine is solid (reviewed and approved by 3 different lawyers) and I have no intentions of changing it.

I've never had to deal with tenants who were prior renters (my other tenants were home owners prior to renting from me) so checking on apartments I've found is cumbersome and time consuming!

All of their information checks out and they seem like solid tenants.

As for why this other potential tenant is willing to offer me more $$, I suppose I could be slightly under market on price, but do feel like I've done decent homework to price the property correctly. It's in Thornton, CO and it's a 2/2 @ 1296sf. I am getting $1,650 for it which honestly at first seemed on the high end, but I've gotten 45 calls/emails on it so you all might be right. Might be under priced.

My non-written policy, but will be written now going forward (thank you @Nathan Gesner) has always been first come first served that meets my requirements.

I also haven't taken the listing down as some of you advised, since I don't have the lease signed and deposit in hand. I plan on finishing up / getting the deposit in the next 24 hours.

I was excited about the extra $200/month, but I think sticking with Tenant#1 is best and I just do a better job scrutinizing my rent price -- would love you advice on how you do that / where you go for 'rent comps'.

Take care!

Angela

All - I have a moral and business conundrum.

I have been in discussions with prospective tenants. They meet my credit score, income, reference checks. We haven't signed the official contract yet, but they have a copy we've been back and forth about.

I received a call from another person asking about the property who asked me if I had the ability to back out with tenant #1 if they paid me an extra $200/month above asking rent.

Morally I feel horrible about backing out on the original tenants. The prospective tenant #2 makes more money, and is willing to pay me more for the property.

Is this something I should even consider? What would you do?

Thank you Jon, nice of you to reach out and lend your advice. I think you've given me some great things to think about.

Hi all - I would really love an array of opinions from newbies that just started up through total pro's. I have two rentals currently, a town home I used to live in, and my mother's home that she left us kids and is in an LLC with my sibs. As you can see both of the properties didn't take a lot of work to find, I am still looking to really buy my "first" buy and hold investment property.

Husband and I have been saving for the last 9 months to go get our next property to add to the portfolio, and originally our plan was townhomes and single family homes. I've never really thought about or considered mobile homes before, and a multi mobile home listing caught my attention. 4 mobile homes for $90K?? Sounds like a steal when I am thinking and comparing to TH's and SFH's.

Do these rent for similar amounts (still less I am sure but somewhat similar?) I can rent a SFH 3bd/2ba for $1750-$2000 right now - what do MH's rent for on average? The inventory is SOO low right now I'm struggling to find some of that information.

Rental income and super low mortgage aside, plus I do realize I wouldn't own the land, the park does.

What else do I need to know more about if I decide this is the next step for us to make sure I am successful?

THANK YOU so much for your advice in advance.

Angela