All Forum Posts by: Cason Acor

What’s the construction type?

Utah law requires you to take 120 hours of state approved licensing courses before you take the real estate licensing exam. Make sure this tech college is approved by the state and what they offer are actual licensing courses that count towards those 120 hours. 

If you want flexibility of schedule, try taking the classes through Stringham. They’re one of the few schools I know of that offer the licensing courses entirely online. 

Are the leases NNN? Who is responsible for the expenses for the individual units? $1.00-$1.20/SF sounds under market to me, even for a cinderblock building that old. Whereabouts in Salt Lake City is the property?

Depends on how the lease is written. The common understanding of “true triple net” means that the tenant is paying the taxes, utilities and insurance directly, without any landlord involvement. You also have triple net leases where the landlord pays those expenses and bills them back to the tenant. You’ll want to go over the lease with a fine tooth comb before you submit an offer to know how the expenses are paid. 

Stringham gives you the option to take the entire course online. I think their enrollment costs $600, but they run promos every now and then, so look for those. I’m not aware of anyone who offers the courses for free, because anyone who offers the classes has to be state certified and meet certain requirements. You might see if you could find a brokerage who is willing to pay or at least share the cost of the courses with you. 

Salesforce and Apto are the two most popular ones in my office. 

It’s common for seller disclosures not to be shared until a formal offer has been submitted. That’s why you have your inspection period. What is the “contract” you said she had you sign? To me it sounds like it’s most likely a duel agency agreement, or something where you acknowledge that she represents the seller and you are representing yourself. 

Are you using actual quotes from lenders?Lending in Canada might be different, but in my experience, a lender is going to require more than 25% down if you’re buying a single tenant investment property with only three years left on the lease. Even if the tenant has been there for 20 years, it’s riskier to lend on a building when the tenant could move out within the first few years of the loan. I’m sure most lenders would take the tenant’s 20 years in the building into consideration, but I can still see you needing more than 25% down. 

Our commercial mortgage broker in my office charges 1% of the total loan amount, and it’s not paid until the loan funds are dispersed to the borrower. 

@Isaac Johnson it’s illegal for a non-licensed person to receive any part of a commission from a real estate transaction. Additionally, a non-licensed person cannot solicite business on behalf of a licensed agent. If it’s a mentorship you’re hoping for, I would find someone who’s willing to pay you an hourly wage to do things like databasing clients, clerical work, marketing, etc.  Those are all things you actually can do for an agent and get paid for without having a license.