All Forum Posts by: Carini Rochester

Listen to as many Bigger Pockets Real Estate Podcasts as you can in the next 30-60 days. Join in a few training webinars. Then report back with what you think the answer to your question is.

I love the energy, love the attitude.

Happy 2022!

I'll send you a couple of names and phone numbers. Is your project in the city or a suburb? Which suburb?

Looks great!

While I have not heard the term 'paper lot,' I'll take a shot at it.

The subdivision has been engineered, drawn, surveyed, approved by the municipality, filed with all offices (D.O.T., county surveyor, water district, etc. but no work has been done in the field. The road is not in, the water main not installed, the sewer main and laterals not installed, etc.

Just having the engineering done, and the plan approved, adds significant value to the land, and makes it attractive to a developer who now, doesn't have to go through all that work.

Interest only? It depends on the HELOC. Talk to your banker about their products.

What happens when you sell? At closing the loan will get paid off out of the proceeds of the sale.

I've never heard of a rental license. One town I own in requires a rental certificate of occupancy for the house. Is that what you mean? Is that what the PM is looking for?

Tell him it was work you didn't approve. To keep a good relationship, you'll pay $500. Tell him that in the future he must get approval before doing extras.

Find a compromise you can both live with.

Call another PM, or manage it yourself.

You own it?

By what people generally mean by 'no money down,' you did a no money down on your second purchase. You took none of your savings to finance that purchase. 100% of the purchase money you borrowed against your property that had equity. You came to the table with no money. 

Another way is if someone (like a partner) brings the down payment money. You might own half the deal without bringing your own money. You would get in on the deal without you making a down payment.

Another way is to pay cash (your own, or a hard money lender, or a family member's) for a fixer-upper. Put in some more money to make repairs and improvements. You try to make the After Repair Value (ARV) high enough that when you go to the bank to get financing on the house you own and have repaired, they are willing to loan you as much or more than what you put in. When you close on the financing you should have no money (or very little) left in the deal. In that scenario, you own a house with no money down. This web-site, and David and Brandon's podcast is packed full with information and examples of this method (BRRR.)

Best of luck to you.

Hiring a professional to help reduce tax liability is definitely 'a thing.' A good CPA should be able to help. His CPA maybe isn't doing it because your dad hasn't asked him to. There are other financial planner professionals as well. Depending on how old your dad is, or what his health condition is like, planning specific to retaining wealth through old age/nursing home, etc. might also make sense. Some of these professionals would be experts in that specific specialty. If the plan is that he wants you (your siblings) to inherit this property, then he should make sure all that planning is done well and correctly.