All Forum Posts by: Gabe R. Gonzalez

I'd follow up with an accountant. I'm sure one will chime in here, but I'm pretty sure an LLC is just a pass through entity, so it doesn't confer you any tax benefits. You'll probably need a dedicated bank account for the LLC so you don't comingle funds and "pierce the veil" of the LLC. There's a little more to it than just putting the house into the LLC.

Also not sure how much the LLC really shields you from liability with a single property, so don't think you're out of the woods. I would be more focused on getting adequate insurance coverage. The one time you don't salt the sidewalks coupled with a litigious tenant..... they're going to sue whether or not there's an LLC. 

@Adam Kraft - sounds like some folks have recommended brokers. I will recommend Shelter insurance. I've had clients with house fires, pipe bursts, etc. The one insurance company who didn't try to royally screw over their clients was Shelter. Their in-house adjusters are responsive and quick to reply. 

I've seen Allstate and State Farm drag claims and deny claims for the dumbest reasons. 

Good luck! 

Do you have a lawyer or agent representing you? Seems a bit of a stretch to cancel a deal because of a front door needing adjustment. 

Ask the builder for a timeline, make him commit to a timeframe and scope for repair. Who, what, when, where and why. 

side note: Are you having a home inspector walk through before closing? 

Get a few different HVAC guys out to inspect and bid out the system. Ask them these questions - you'll get a better understanding and you'll be able to vet your future vendors at the same time. 

They should be doing a load calculation, taking into account insulation and window type if I'm recalling how it works properly. 

Good luck! 

@Michael Pienkowski - When you do start interviewing property managers, ask what their mark up is on maintenance. Lot's of folks like to mark maintenance up 20% whatever price they get from the vendor... 

Join a brokerage or find someone to sponsor you. 

The next license up would be a managing broker's license; which requires you be licensed as a broker for the previous 2 years. Then there's a few classes and two tests you need to pass. 

There's also getting a job as a property manager. I self represented on my personal purchases while I was a W2 employee - worked out great :) 

@David Neubauer - I'd recommend an owner occupied flip. Live in one and flip the other. 

I'd look in the Bridgeport neighborhood. I increased the equity by $200K on mine by freshening up the lower unit and fixing some systems in the building. 

Rents have gone up $200-$300 in last two years in the neighborhood. Get in before it gets too expensive! Reach out if you have any questions. 

@Mario Morales Make sure the landlord agreement is in place with peoples gas. Call the gas company, if it's not back on, schedule a time for them to turn it on. Hopefully your lease says something about utility bills being owed by the tenant - you should be able to make those "rents" by posting to the ledger. Either way your main goal is to get that gas back on before winter. 

Reach out to the tenant to see what's going on. Think about your next steps from there. If they can't pay their gas bill are they going to start having problems with the rent? CYA.  

Treat everyone the same - college student or doctor. They get the same security deposit. 

The max you can charge is dependent on the jurisdiction. When I was in Michigan, we could vary the deposit based on credit worthiness. You can't go wrong with 1-month as deposit though! 

Does the roof still have a warranty from whoever installed it? It may have been voided by subsequent repairs, but wouldn't hurt to find that out. This is me thinking with my property manager hat... 

Maybe you have some rotted decking - have you noticed any pooling water with heavy rain? Is the membrane secured to the parapet wall correctly? Water could find it's way there and travel ways away from the point of penetration.