All Forum Posts by: Chad White

He's not to 59 1/2 yet. He seems to think he can withdraw it without penalty anyway. I looked at his statement and he has over 20 different accounts/shares in this portfolio, this one labeled "Prime Money Market Fund" He/we are pretty sure that its all part of his retirement. What sort of questions can I ask his accountant to clarify what type of account this is and how it can be used? He has a joint account outside of this portfolio with the same institution that is labeled/coded as the same "Prime Money Market Fund" that is just a regular MM that can be withdrawn at any time. Is it possible that the money market in his retirement account may be the same? How do we know it is actually a self directed IRA?

Sorry if this seems confusing or illogical!

Hi Everyone...I found out that one of my parents has substantial funds in a Money Market account that is part of his retirement portfolio. His accountant said he can invest it in ventures other than stocks, bonds, mutual funds....precisely real estate. His accountant said that he cannot invest it with family, or a family members LLC. I am currently borrowing hard money for my flips at 12%. I've done a lot of deals and we're confident that I will be able to pay him back, but we don't know how he can legally invest this money with me in my flips without losing the tax deferred gains that he has in there. Is there a type of corporation that makes sense for me that would allow him to to this? Is his accountant just full of it? Does it make sense for him to just pay the taxes and cash it out now, if I am willing to pay him 10% (so I save 2% plus 3 points). He is is in the highest tax bracket. Currently he is earning 1/10 of a percent on the money in there.

For me other than a wealth of great information, the best part of the weekend was renergizing myself. I feel even more passionate about Real Estate and can't wait to keep moving forward. Geraldine has a great outlook and I look forward to implementing some of her tips into my daily routine. Learning more about asset protection from Clint was also very helpful. You can never know too much in that respect.

Try talking a mortgage officer at a local bank or credt union first. They might be more understanding. Youay have to go with hard money, but I know my hard lender won't lend to anyone below 700 FICO. alternatively if you aren't too attached to your home why not sell it , use the money to flip and rent until you can be approved for a loan and buy a new home then. Your credit should recover subtaintially beginning 3 years after you become current on everything.

I understand the allure to save $ but definitely one of the biggest no nos of house flipping IMO. Last week I walked into a flip and my carpenter of several years was standing in the kitchen with bloody paper towels on the floor after he cut his hand on a saw. If he didn't have insurance, I don't even want to think about where that could have gone. Instead, not my issue. Fortunately he will be fine. :)

Also in response to Chris and the off duty plumber; last year I got a call from a neighbor who said water was coming out from under my door. I rushed over to find the brand new bathroom with all new plumbing from the basement up had a faulty fitting that busted. This was NOT covered under my insurance. Fortunately I hired an insured plumber whose insurer paid all $58,000 of damage in full in less than 30 days. Moreover, a claim a contractor makes does not get recorded against the property, which otherwise may have caused any future buyer to have higher rates. Bottom line, you need licensed and insured contractors for almost everything. Budget accordingly. This is Real Estate, expect the unexpected.