All Forum Posts by: Bellman Tumasang

How did you buy your first apartment building? 

Did you do smaller deals before that to build up capital or did you read books, educate yourself, save up and go starting it to apartment buildings?

Anyone here who started their first deal as an apartment building as that’s my goal. Please explain how your deal went and how everything was set in place? 

How much did you save up for the down payment? Interest rate and lender you got financing from? NOI? Cap Rate? Location? Underwriting? How you did due diligence and why you thought the deal was good? Collecting rent was it online with software such as Buildium or did you collect checks? Entities did you borrow and close in an LLC etc with a non-recourse loan? You get the point all details please.

I was just doing research on property taxes and came upon this from google  https://www.nolo.com/legal-enc... . Could anyone who owns property and pays property taxes please explain to me how the process is like?

Anything else that I need to know?

Any syndicators here that are knowledgable and doing deals actively I have questions that I want. Comment below and I’ll get in touch.

Disclaimer: I am not selling or offering  any product/service I just want to gain value from experienced people. 

I know when screening tenants you can’t choose based on race, gender, disability etc. Can you choose based on income and job? Are these legal discrimination because you can argue some are more secure and nearer etc? For example, I’m not sure if your allowed to do this but could you be choosing key workers over non key workers as key workers may still be working and able to afford rent?

Ok thanks even if it's my first deal. What are the requirements? Do I need experience? Where can I apply and read up on it? Can I close in a property specific LLC? Etc

If I'm buying an apartment building for the first time how would I go on about getting a non recourse loan where it is secured against the asset itself? I've heard to do this you need 35% down? What about a good DSCR ratio of 1.25 or above?

Thanks and yes I know about the depreciation write offs. It allows you to depreciate your property on paper when in real life it may be appreciating due to forced or market appreciation.

Whether you own real estate in your name, an LLC, corporation etc can you please fully explain with an example how you manage taxes?

for example let’s say you owned a rental property in an LLC taxed as a disregarded entity and your profit after all expenses such as maintenance, debt and taxes was $100k and your personal tax rate was 30% 

1) Would You pay 30% on that $100k as taxes so $30k and the remaining $70k is yours to keep with no further taxes? 

2) For LLC's taxes as a disregarded entity where taxes are paid on the owner level does the money have to do distributed to the owner so they can afford to pay the tax or can the LLC pay it?

The taxation has been confusing so someone please just use an example explaining everything it’s how I learn.

@Rod Hanks

I’m thinking about using Buildium could you please answer these questions please?

1) If each property is in a separate LLC with its own checking account is it possible for rents to be paid to individual checking accounts of each property?

2) Is their credit feature that allows tenants to build up their credit history by reporting their payments to credit authorities?

3) Can the property owner have full access while property management companies only have limited access as well as tenants?

I’m thinking about using Buildium could someone please answer these questions please?

1) If each property is in a separate LLC with its own checking account is it possible for rents to be paid to individual checking accounts of each property?

2) Is their credit feature that allows tenants to build up their credit history by reporting their payments to credit authorities?

3) Can the property owner have full access while property management companies only have limited access as well as tenants?