All Forum Posts by: Bobby Esposito

Hello all,

Im going to be in town on December 2nd where I plan to meet with an agent at 10am in St. Paul. Im looking for any investor who might be neighborhood searching, checking out houses, checking on their own houses or doing anything at all related to the properties that you own that I might be able to tag along? Think I can learn a lot that way and would really appreciate being able to see you work. Please let me know!

Thank you,

Bobby

Since you seem to have a lot of experience and are a lender as well I would love to meet up with you and learn as much as I can. I imagine you're a busy individual but if you are able to meet up in the MSP area on December 2nd for even 30 min I would greatly appreciate it. Please let me know if this day works for you!

I had always liked the idea of an LLC to protect my aspects, especially since I plan to grow. However what I am reading is that it is hard to obtain a bank loan with an LLC as many don't allow it. Although, I am 23 years old and in the grand scheme of things 65k is not all that much in assets and I can hypothetically lose it all and still have many many years to earn it back maybe keeping it in my personal name would not be that bad of an idea? What you're saying is that there are a lot more costs associated with having the property under an LLC than a personal name? @Tim Swierczek

Originally posted by @Tim Swierczek:

@Bobby Esposito If you are not living there then you can put down as little as 15%, but 20% is much cheaper. The big question will be about liability and the LLC. I have 8 of 9 properties in an LLC and I'm still personally biased against them. My properties were purchased in the LLC because it was my best option for financing when I started to grow. That being said it costs me a lot more to keep them in an LLC (insurance costs, permitted repair costs, legal costs, court costs, tax prep fees, etc) with a potential liability benefit. I tend to think that personal name with kick-*** insurance is the better way myself. That's not my legal advice just an opinion.

@John Woodrich what do you think of LLCs vs personal name?

@Tim Swierczek I would not be living in it so I know I am expected to put the 20% down. I’m currently living in a apartment in Brookings, SD but I travel to MSP quite often. I will take a look at my game schedule and we can figure out a time and place to grab coffee? I would enjoy that.

Originally posted by @Brad Cornell:

Hey @Bobby Esposito!

That sounds like an excellent opportunity! Great work on making that connection and having the ambition to do something about it.

I can't help you out with location but what I can say is that the LLC will be determined by how you finance the deal. If you go the traditional 25% down then you can form an LLC and buy it within the LLC right away from my understanding. I'm guessing you're not going to be owner occupying this property so you probably won't be able to take advantage of NE first time home buyer low-down-payment programs.

As for insurance my guess would be about $100 a month.

it's very easy to have the tenants pay the utilities on a single-family home. You just have them call the utility company and transfer the utilities over to them for the duration of their lease.

I would start hunting for deals as soon as possible if I was you. You could wait until April but the only problem with that is you may not be able to find a deal in time. So start looking now and see what you can find! depending on the seller you may be able to set a later closing date.

Hope some of that helps!

 Brad, thank you so much for taking the time to answer my questions in depth. I greatly appreciate it!

I also have 60k in the bank, 3k in loans and no other debt, 790 FICO score

Hello!

I have been playing around with the idea of owning real-estate for quite some time now. I have a unique job where I officiate high level of junior hockey and live in housing supplied by the league. This is where I saw the opportunity. The league has a lease ending in St.Paul this year and is looking to get out. I have spoke to the commissioner and he loves the idea of me purchasing a place and leasing it to the league, had mentioned he would entertain a 2-3 year lease. They currently pay $1785 per month so I plan to charge around that much. I am looking at places in the range of 125k-150k and would love some recommendations for areas to look at. I also have a few questions that I have been thinking of. (looking for a 3 bedroom).

- When should I obtain an LLC, now? If so can I get it from a state other than MN or would it be smarter to just get one for MN?

- What can I expect to pay for insurance per year on the house?

-  I plan to have tenants take care of all utilities, is that hard to set up?

- If I wanted to purchase the house in June, giving me 2 months to get it ready for the season (sep 1) when should I start sending offers?

I would love any and all feedback!

Welcome! Im brand new as well and found his books and this website so informative! I wish you the best of luck 

Hi All,

I am brand new to the game and have been given a unique opportunity to get into real-estate. I am 23 years of age from New Jersey. I have lived in Texas the last year for work and have just re-located to Brookings, SD for the next 8 months as well for work. 

My work is, well by no means normal. I am a hockey referee for a high level junior league. The league that I work for rents apartments (usually the same apartments) every year to provide housing for their officials (me). I have spoken to the league and they are excited about my idea of myself purchasing a 3 bed room house in the St.Paul/Minneapolis area and leasing it out to the league. This provides me with some automatic pros... The tenanat would be a hockey league that I know is good for their money, it is a nationally known league that generates a lot of cash-flow. I know my tenants, most of whom I work belong side of. And I will also be traveling in and out of that house on occasion where I can check out how things are going (that can be both a pro and a con). 

I have a few months to do adequate research to make sure I am as prepared as I can be. I have spoken to loan officers, financial advisors and life mentors about this but I have not spoken to actual real-estate investors like yourself. I would love the opportunity to meet with one of you (if you are in the area) or chat on this forum so I can get your feedback on my proposed idea above. I greatly appreciate all of you.