All Forum Posts by: Dustin Awtrey

Ya I guess I would keep all funds in the management/holding company LLC and what I meant by drawing a salary was yes just basically making a monthly draw into my personal checking account. And on a side note, what do you think about a series LLC? Making the parent LLC the management/holding company and the child LLC the LLC's that hold the title for the different properties?

@Drew Sygit

@Chris Seveney

my thoughts are this,  I want to pay myself a monthly salary being that once this development is done im quitting my w2 and focusing on real estate development full time, so instead drawing my salary out of the the 8 unit llc, i would deposit all rents in the holding/management llc then take my salary and either leave the leftovers there or send back to the 8 unit llc

so all your money goes in and out of the pmc LLC? And the other llcs just hold the property?

I am in the process of building an 8 unit complex. I'm going to have an LLC to put this development in. Then after this development I plan on doing others , each having their own LLC. My question is, should I have an LLC holding company to put all my different properties in? My thought was the holding company I would send all my monthly rents to, and all the expenses would come in and out of the holding company and I could eventually treat the holding company as a real estate acquisition company and apply for loans in the holding company's name. Is this dumb? Or should I just have a different LLC for each development and that's it

Time line, not timeliness

I am looking at a new real estate project, buying a vacant lot and building 18 units on it (6 tri-plexes). Rough numbers are looking like land price is $180,000 and hard costs per building at $180,000. How would I structure a deal where a family member put up the 180k for the land and i get a construction loan for the first building, upon completion of the first building i refinanced to a conventional loan and pulled out the equity to pay back the investor. What terms would make it an attractive offer to said family member in a 6-12 month timeliness to complete the first building

@Brian Dudash I wondered this same thing when I first started and what I did was use turbo tax, just create a new account and choose the product and go through all the steps entering in all your info and at the end it will tell you what kind of refund you'll be getting or what you owe, just dont pay or file your hypothetical tax return.

@Parker Eberhard

Its definitely a learning experience for sure but I have the equipment and a pretty good understanding of how the infrastructure is installed, like the water main took me a month to install but probably would have taken someone that does it for a living a couple days. As far as it being cheaper than subbing it out? The water main installation I had a bid for over 60k to get it done, It cost me about 15k in materials.

@Ben Sears

This piece of land I had my eye on for several years and saw potential in it that I knew noone else did, not even the seller. I got it in 2013 for a pretty good price, and have been slowly working on it since then, bringing in fill dirt and regrading, etc.. but just recently started ramping up doing all the infrastructure work so I can get to building, ive paid the land off and have been doing everything else out of pocket so when I go to get the construction loan for the buildings, I can use the land as collateral. It's been a long process but the hard work is soon going to start paying off

@William Coet

Yes I have and run my own equipment from my other contracting businesses, but this is my first real estate development doing everything on my own, I am a concrete guy, doing foundations and flatwork. So I work in big developments every day and I see how everything works.