All Forum Posts by: Simon W.

Hi Everyone,

I have a different question about this. I know you see the subject and it's been beaten to death.

My question is this. I am close to starting my own firm with license and was wondering how to do a full service management. I came across Master Lease Agreement, but not sure if the owners are willing to do that so I want to have alternative options.

If my company is added to the owner's LLC as a manager, would that be okay or I still need to be licensed?

If that doesn't work, how about adding my company to their LLC as a member with 0% or 1% ownership? (not sure if they are willing to do this as well)

I am just trying to structure everything before I launch my firm.

Any advice would be great! 

Thank you.

@Ron Leoncini  - welcome to BP.

-Simon

Depending on how you want to structure the management company there are ways around the broker license requirement.

I started my accounting career for a Property Management firm and still working as an Accountant Property for another company. I am also in the middle of starting up my own Property Management firm that will be handling small to large real estate owners. 

The date is coming closer. Any takers?

@Account Closed - If you have a full mortgage (usually that includes paying the taxes) so in this case I would use 40-45% rule.

But normally when deciding if a property is a good deal

I do the quick and dirty method

This is for the monthly calculation

Then just take the annual NOI and divide that over the purchase price to get your cap rate. I mean each investor do things differently to cater to the numbers that work for them.

If it's in your target % for the cap rate and satisfy with the CF, that's your deal.

@Account Closed - I think the 50% rule is more of a quick glance of a property before you purchase it as if you were paying 100% cash.

If you already bought the house for 30K, you should know the ACTUAL expenses to get a real CF number instead of an estimate CF number using the 50% rule.

Yes, it includes taxes & insurances. It doesn't include P&I payments.

Anyone in South Carolina interested? Email me for more details.

And Welcome to the community! :)

Sounds like Rich Dad Poor Dad type of seminar, am I right?

Robert, my group will be having a Networking event December 3.

http://www.meetup.com/PrivateREI/events/218807671/

or go click on Network tab and click on Events & Happening to find events near you.