All Forum Posts by: Cassie Montalvo

I don't have separate LLCs for my flips in FL - they are all under one business name.  As far as being sued for defects, you would have to have knowledge of the material defect to be sued for it.  In that case, it would likely also involve fraud.  Look up the FL case Johnson v Davis which I believe still holds the precedent here.

PS, I am not an attorney, but I have sued a previous owner for contract fraud over a material defect they knew about... fun times!

I flip houses and I don't know why, but I get all the stinky ones (I jokingly tell people that is my specialty).  

Animal urine will go through carpet and soak the padding underneath - this will likely all need to be ripped out and replaced.  When the carpet is out, it doesn't hurt to pour some cleaner on the floor (if its concrete).  

The walls will likely need to be painted will Kilz primer and then you can paint over that with the color of your choice.  Don't forget the ceilings.

You need to have all the a/c ducts professionally cleaned - super deep cleaned! Seriously, don't skimp on this step - it's critical.

As for the agent's responsibility ... unless they remodel houses themselves, how could they have known - it's not their profession.  I know it sucks to hear, but this is 100% NOT your agent's fault.  

I am assuming you qualified for the loan on your own through a lawful and honest mortgage application and underwriting process. As long as that was the case, then I would bet no one is going to hunt you down over having a roommate - it seems irrelevant.

Key word is here is ‘roommate’ - now if you said (on the application) this was to be your primary residence and you are not living there, but instead renting it out, then that may be fraud.

PS, I’m no where close to an attorney and this is only my opinion.

I use Cozy and Quickbooks.  QB has a system where you can create “projects” to track income and expenses to those specific projects. I create a “project” for each rental.

Once I get to 50 units (which is usually the minimum for some of the bigger PM software systems) I’ll switch over. 

I’m in FL and utility bills stay with the property. Here, if you want service turned back on, you must bring the account current ... it doesn’t matter whose name the bill was in nor who owned the property.

An agent in the same office is not a conflict of interest. The listing agent has a duty to their customer (the seller) your agent’s duty is to you (the buyer) - their office location makes no difference.  Most agents are bound by ethics.

You can read my last post on my most recent BRRRR. I kind of explain the process and numbers a bit. Let me know what other questions you have

https://www.biggerpockets.com/...

Since this is your first transaction - I recommend you do it with an agent who represents ONLY YOU!!!  Also, you don’t want to burn bridges this early in your career. 

Secondly, having your own representation doesn’t cost you anything more, this one is a no-brainer: go with the agent who showed you the property.

Lastly: the agent who showed you the property may have a claim for the commission still since they could claim “procuring cause” ... do you want your first transaction to involve a lawsuit? 

Answer - go with the agent who showed you the property

this was my last rental rehab. That wall tile was less than $1.00 per sq ft from Floor & Decor

You would need to refi the loan and the interest rate would likely be a lot higher.  I have a few properties that remain in my personal name (and mortgage) because they used to be my primary residence; I DON’T transfer them to my business.