All Forum Posts by: Edith TenBroek

I was reading something on BP about WHY you invest in real estate. I can't remember the source buying pretty sure it was something said or written by Brandon Turner. We aren't in the game yet but we are about to start house hunting. Here's why... My hubby works as a college professor. I'm a homeschooling mom and I own my own small business which helps with the bills. However money is tight. During the fall and spring semesters my hubby works overload (teaches extra classes) so we have money to enjoy life a bit. The problem is, he is so dang busy and tired during the school year that we barely have time with him and don't really get to enjoy life! He works and sleeps. Then on weekends he often has to do grading at home. I want to make enough money in real estate so that my hubby won't have to work overload any more. Beyond that is cake! Why do you invest in real estate?

Excellent! Thanks @Jean Bolger

Ok, I'm not fully up to speed on Land Trusts. Would we use the land trust to make the LLC the beneficiary? Would we still have the same limited liability doing that?

Another quick question for those recommending care with LLCs. What would you recommend as an alternative in a partnership situation?

I guess my comment would be to do the math. If your son is planning to be an owner occupant he may not have to put down 25 percent. I would pay more attention to the numbers than a property management company. When I started getting interested in REI last year a realtor friend of mine said you can't ever make money in renting houses, only apartment buildings. How many people here on BP have proven him wrong? Good luck!

Hi all,

Thanks for the info. The LLC was actually recommended by my lender. So everything will be above board there. We plan to use a lawyer for our LLC and first few deals. I have connected with a realtor recommended to me here on the boards. We have an appointment to talk tomorrow afternoon. DH and I are working on writing out all the partnership details we discussed yesterday and e-mailing it to our friend so everything will be spelled out. I'm sure we will come across issues. We have a dollar amount to work with and a plan on how to get started. We know we want to stay in a lower cost SFH buy and hold to start. We plan to hire property management once the house is in rentable condition. If we have success with the first house we will repeat the process!

The funny thing is our friend was ready to jump in and buy a few houses, but we suggested we start with one and go from there.

Anything I'm not thinking about?

BTW I'm still wondering about the buying process. I know I will be discussing this with the realtor tomorrow. I just want to know everything today! ;)

@Jean Bolger Thanks! I was just hoping we could do that on behalf of our partner. It's been a few years since I've purchased a house. So are signatures required before the offer is accepted? I can't remember how this all works.

As far as partnerships go, we are planning to transfer the title to an LLC right after closing. We have a verbal agreement that we are happy with, but the details will be written into the LLC.

@Jean Bolger We are working on finding a realtor tomorrow. We just agreed to the partnership yesterday. I'm just trying to find out what I can NOW! LOL! I figured there would be realtors here that might know the answer.

So we are partnering with one of hubbies co-workers. He has the cash, but not the time, while we have the time, but not the cash. So he is willing to buy the property, and pay the downpayment and closing. But he doesn't want to go on the house hunt. He is completely prepared to have us pick the house. We are looking at houses two hours away. We don't mind the drive, be he really doesn't have the time.

So logistically how do we go about this? If we pick the property, but he is buying how does he make the offer, give the realtor earnest money, etc. etc. We can figure out a long distance closing, but what about the offer?

@Walt Payne good call! I hadn't considered that possibility.