All Forum Posts by: Derek Smith

@Angie B.

wow! This is great stuff! Sounds very similar to the website that my team and I are building...except MUCH, MUCH easier to deal with.

If I am understanding correctly what you're using it sounds as if you have two separate Google products, Google Number and Google Scheduler, is this correct?

Everything stated so far has been great info! Here are some other items you may want to consider:

1. I'm not sure how this applies to retirement, however, most 401(k) include a clause once employment is terminated the loan is typically due in full within 60 days.

2. The money being paid back to your 401(k) is taxed. Then when you go to take the money out at retirement its taxed AGAIN.

2a. Furthermore, the monies being paid back typically will NOT be reinvested until the full amount is paid back, which means losing out on market gains during repayment.

3. You may only borrow $50,000 or 50% of what you invested, which ever is the lesser amount.

4. Make sure to understand all fees involved. Although not a typical loan there will be fees and may even see annual fees.

5. Defaulting on a 401(k) loan is asking for impending doom! So be careful of this one!

If you're able to do the solo 401(k) as mentioned above, that may be your safest bet. Otherwise you may want to look into P2P lending (Propser, Peer Lend, etc.) if your credit is that high you may be able to obtain a great rate without touching your 401(k).

Good Luck!

@Corey Patterson

I've personally know a couple people to go through AZ Academy of Real Estate, both have said based on their research and attending they would pick the same place if had to do all over again.

I am personally planning on enrolling here. If you're looking for "cheap" sometimes there are places listed on Groupon. Either case, my vote is for AARE.

This is simply based off what I've understood in the readings I've done...

In some states you may not charge more than what the out of pocket costs for the application would be. Meaning if to run a background/credit/reference it costs you $20, you may not charge $40 to make a profit. Check if this applies to your state.

Also, unless you have it in writing that you'll refund the application fee, I don't see why you cannot process all the tenants and then select the best candidate.

On the other side, if you take too long to complete the app you may be asked by the renters to refund the fee due to them finding another place since you were to slow to move.

Any other thoughts on this?

I agree with John, you should be good if its been 2 years since your discharge.

I know people in a similar situation and some lenders have created programs to help finance people who went through bankruptcy only 6 months ago. Granted that option you'll need 25% down. For you no need to worry, 2 years is plenty time after the fact for it not to completely prevent you from purchasing a property.

I have a friend who pitched to me an offer for a business partnership. I personally do not know if there are any legal roadblocks to what he suggested or if it may simply be an ethics issue.

He is currently a licensed insurance dealer, I plan on obtaining my real estate license this year. He has proposed we somewhat combine these two ventures, in the sense, that we can cross sell all our products/services to potential home buyers (insurance side) and visa versa for those buying insurance we'll pitch them our real estate services as well, naturally only if they want it or it makes sense.

Would there be any issues combining our two ventures together? Although at first we'll be operating separately he has requested I become a licensed insurance rep, more so for future needs of the business and when he decides to sell I'll be prepared to take over his share. Any thoughts?

I'll have to agree with Patrick, being creative is your best bet.

For example, my agent and her broker, deal primarily with rehab properties. With that said, they tend to announce what it is they are looking for, usually via word of mouth/e-mails/etc.. I know of at least one project that was off the market, but through the grape vine his office caught wind of the possible deal, shot it over to their investors, and next thing you know they are closing on a property NOT listed on MLS.

So, there are ways, you just have to look for them. Good luck!

As I read more into the topic I've come up with additional questions.

1. Are you able to simultaneously deduct both depreciation and mortgage interest paid?

2. Does anyone know anything more about Cost Segregation? It sounds as if the IRS' goal was to make depreciating properties "easier", has anyone had any experience with this? Also, what are the main differences between using the Cost Segregation method versus other forms of depreciation?

@Aaron Montague

Thanks for the info!

@Account Closed

This summer will be my 4th year in AZ and I love it! So I hope you're looking forward to living here, even if it is only part time.

I have not made any real estate transactions out of state yet; however, I did assist my parents in finding a summer condo. If you want to shoot me an e-mail with what it is you're looking for exactly I'd be happy to share my resources used for helping my parents. Granted it was a condo, I am more multi family housing minded.

Good luck!