All Forum Posts by: Brandon Ellis

What is your alls take of houses built in a flood plain. I figure I could just get flood insurance for the property and the rent ROI would still be good for the property.

I've noticed sense hurricane Michael came through NC some areas sprung up as being flood areas around NC.

My suggestion would be to watch some of the rich dad / poor dad youtube videos.  From there go to Morris Invest youtube videos and biggerpockets youtube videos.  They are what I enjoy to watch. 

You are going to want to setup an LLC but you will need to speak with lawyers and CPAs to help figure out what the best setup is. (One options is "Corporate Direct" to assist with LLC creation) Haven't tried corporate direct but I'm looking at going through them in the future to assist with re-org of my LLC.

After LLC is created get an EIN and get the business accounts created.

Rule 1 though is never have a rental property under your own name.  Have it under the LLCs name.  It is a form of asset protection.

Also look at all the ways you can get money / loans.  

You can get a HELOC to assist with purchasing a property (Not a Home Equity Loan).

You can use companies like Fund&Grow to assist with using business credit to purchase real estate.

In my area in NC I've noticed that credit unions can have good rates for mortgages or HELOCS and will allow to pull up to 100% of the equity out of a property to go and purchase something else.

I almost bought a 4 plex a few weeks ago and decided not to after getting the inspection on it.  That would have been my first property.  I've learned that if your just starting out, get a single family home.  Get a few Single Family Homes then try a 4 plex.  Easier to build up experience as you go or you could do the trial by fire and dive all in.

Good Luck to you.  Just take one step at a time and keep moving forward.   

@Basit Siddiqi,

I guess I'm wondering if there are any tax benefits but I've recently came across some forums which better explains the benefits and disadvantages of doing a personal loan to your llc. 

Thanks thanks a bunch that was helpful.

Just curious, how would you do a personal loan to your LLC? What paperwork is required?

Was speaking with an investor last night who was managing his own properties.  He absolutely loved Cozy because messages were automated if a tenant didn't pay. Also Tenants can submit tickets if something broke.

Something you will want to do if this is to be a rental property is to setup an LLC (limited liability company). You can setup an LLC online or get a law firm to do it. I got a quote here locally for about $500 to get an LLC created but you can do it for less. Purpose for an LLC is to protect yourself legally in case someone injures themselves on the property. Think of LLCs like logical(legal) partitions on a hard drive. What happens in the partition stays in the partition (or at least it's supposed to).

@Jerry N.  I looked up that InSoFast stuff and that is awesome.  It just amazes me of all the new stuff that comes out on the market you wouldn't think of.  

Same issue I've been wondering about lately with copper piping.  I'd almost want to just have copper piping replaced with Pex piping to future proof from bursting.  On a different note there is spray in insulation that may suit your needs if you don't have a lot of space for insulation.   

Just curious but say if I had a property on the beach I was using as an AirBnb kind of property and I wanted to use it 2 weeks out of the year.  Can you do that, or do you need to pay yourself rent or something like that?  This property would be under an llc so logically would be separate from personal property.

@Jack Inman @Palak Shah

The 2 major things that I feel would need immediate repair would be the roof and the front right side of the house has a brick pillar that holds up a piece of the roof over the porch (kind of a part of the foundation).  I don't believe either of these would require tenants to vacate.   Other things to fix after that would be windows, siding and I believe the last apartment has some work.

In the short term I see the big price but in the long term I can see this continually bringing in income.