All Forum Posts by: David Gonzalez

What you plan on doing is against Fair Housing Laws. However your state law may exempt you if you follow strict rules/guidelines. In California you are exempt from Fair Housing Laws if you live in the home you rent out and meet/follow other criteria. Check your local Tenant Landlord Laws but I would suspect that if the home is separate from your private residence that more than likely you would have to follow Fair Housing Laws.

Congratulations on the first step! To minimize your risk and start generating cash flow I would build a success portfolio of vacation rentals you managed and identify what qualities make a successful property. I would then reach out to property owners that meet the criteria and approach them on a lease where you have the right to run a vacation rental. They benefit from a higher rent and you can build a portfolio quickly. With the cash flow you can then start investing in owning the properties you rent. Best of luck!

I would suggest you learn how she communicates then speak to her in her "language". For instance if she speaks in numbers give her data. Also come to an agreement such as you pick the home (within reason) and she decorates or chooses which unit to live (within reason). This site has different thinking styles: http://sourcesofinsight.com/five-thinking-styles/

It's good for both parties to want guarantees when starting a relationship (business or other wise). Just make sure it's in writing and based on mile stones you can quantify. Perhaps the following arrangement: (1st 25%) $ for supplies rest of 25% on first day of work (2nd 25%) proof that work is 50% complete [what ever that milestone is] (3rd 25%) proof that work is 75% complete [what ever that milestone is] (4th 25%) Proof that work is completed, permits completed and work area is clean.

I agree with @Deanna McCormick view of rent ready. To fix your current problem if they can't honor the contract ask for a credit at closing towards closing costs equal to the cost of getting it rent ready. Also consider dumping the PM company when you get the property. They had an unprofessional response.

Interesting. Could be a number of things. I have noticed that CL is less effective so it might be consumers changing their preferences.Or it could be the season. With regards to your ad I would suggest better pictures and rewrite the copy so it sells your studio. Maybe even include additional keywords of local towns. Also on CL it's important to be among the first results so definitely repost the ad every couple of days especially on the weekend. You should definitely be on Zillow/Trulia and Hotpads. Those are where I get most of my leads.

If you know what you are doing it can be a profitable business! The way you buy and finance it would be the same way you buy and finance vacant land. Only difference is how you evaluate it and how you do your due diligence. I would suggest becoming an expert in a metro area. Learn who the owners are and the value of vacant land. Look at owner financing and long term leases. Maybe get an option on a piece of land and work with a developer who will exercise your option and share in parking profits. Best of luck!

Not a good sign! Either run away or do it subject to viewing. If it's a mess ask for an appropriate price reduction or change in the terms of the deal to make it worth it. Might want to wait because it might be come a stale listing.

I agree with @Kim Meredith Hampton check with your local laws with how to take possession of an abandoned home and deal with any personal property. Though it is unfortunate consider your self fortunate that you didn't have to deal with an eviction.

To start off I am not a lawyer nor do I play one on the internet (nora CPA). For Risk Management purposes your strategy is very smart! By isolating the Property Management with the ownership of the asset you will prevent people from getting at the asset. Property Management can be a risky venture if not handled properly. The corporation serves as an additional insurance policy. As for tax purposes you can set each entity in such a way to maximize deductions. Would talk with an expierenced CPA to make sure you are in the clear with the IRS and a Lawyer to make sure your actions will not break the corporate veil and expose you to personal legal and financial risk. As for corporate structure for the Property Management the CalBRE does not recognize an LLC. You will need to set up an S Corp to have similar tax treatment as an LLC. You will also need to have some one with a broker's liscence be the broker of record. If you set up a foreign S Corp be sure to register in California otherwise you will be personally responsible. Best of Luck!