All Forum Posts by: Anthony Howell

Seller is out of state. The property is in Florida and the seller now lives in New York. House is partially renovated and partially destroyed. The property needs major repairs like HVAC and a room needs to be redone.

The agent said that the seller understands that the house is only fit for a cash buyer. To make the numbers work for me the seller would have to cut a big check which they don’t have.

I want to know if it is better to wholesale without an llc or wholesale with an llc that was ment for ecommerce.

Of course I know I should consult with a lawyer and none of what you all tell me on this forum is considered legal advice. You're not a lawyer and more importantly you're not my lawyer.

For some back story:

A couple years ago when the pandemic started I saw the writing on the wall with my old job. So I started a shopify dropshipping store. I intended to 'dropship' items from china and send them to customers. I filed an llc with the state of Ohio. I bought my sales and use tax permits with the state. But I ended up never buying or shipping any products. The llc has had no income since its inception.

Now I'm wondering if there is any beneficial protections to pivoting the llc from an ecommerce company to a real estate company. Is there paperwork I have to fill out for that? Are there any unforsceen consequences that could happen if I do a wholesale deal with my llc instead of just in my name? How do people protect themselves? I've heard that some people start out doing deals as a sole proprietor and then pivot?

I also want to add that I intend to only double close on deals and not assign contracts. That is specifically not something I can do in Ohio.

  Of course I know I should consult with a lawyer and none of what you all tell me on this forum is considered legal advice. You're not a lawyer and more importantly you're not my lawyer.

Would this new law strictly apply to assigning contracts or would this also include double closing?

I thought it would be fun to hear some of your guys' best deals and worst deals. I'm just starting out so I am trying to learn as much as possible. In my research I have learned that a borrowers biggest motivator to continue paying is just because they want to stay in their house. It isn't because they think that paying their mortgage is the right thing to do or a pride in home ownership - they just want to stay where they are. I have also learned that when inspecting a deal it is important to look at the taxes. I don't want to buy a deal and suddenly get hit with a massive tax bill and the deal goes underwater.

 I attended a meeting at my local REIA and they were talking about note investing. One strategy they mentioned was to sell a partial. But the way they described it made it seem like due to the time value of money if someone buys the last 10 years of a partial note with today's money, when they receive the payments the future value of the money will be disappointing.

I was thinking about flipping a seller carry back note. I am new to the notes and real estate business and wanted to know how that would work tax wise. I understand that if I were to flip a house I would be subjected to heavy taxes. If I were to flip a note would I still be subjected to heavy taxes?

I was browsing through Zillow and I saw a house that had sat on the market for a long time in my area. I saw the photos the seller had posted of their home. The seller's house is out of date, but it does look livable. I drove through the neighborhood and I think it is a solid place to invest in. I want to buy this house for a nice discount, fix it up and flip it for cash.

Before I make an offer I wanted to better understand what motivates these sellers to do what they are doing now. Their house has sat so I don't think they have a pressing motivation to leave somewhere. I want to best approach these people


I'm wondering what happens to those people who go with discount brokerages?