All Forum Posts by: Eric Braxton

@Greg Scott

1) I stated that I was in the process of getting a CPA. Just thought I would get this community’s opinion/thoughts.

2) You are trying to make a point but I'm not sure what it is. Unless I make millions I don't need an LLC? I don't think Jeff Bezos is the only person with an LLC. Whether I should or shouldn't will be at the advice of my attorney. I was simply posing a location based question.

@Chris Seveney

Yes I would be setting up one for protection but I think my attorneys point was that they have differentiating costs for setup/maintenance/tax filing per state.

I am in the process of vetting CPAs but thought I would ask this community.

Hi all CPAs/tax professionals, quick question. I just closed on my first 2 SFHs in Virginia. I live in New York. I was speaking with a lawyer about setting up an LLC in Virginia but he asked me this question

"Before we set up the Virginia LLC, you may want to speak with a CPA to determine whether there are any tax benefits or concerns with forming the LLC under Virginia law opposed to another state (like NY). If you determine that another state would be better, then we will need to register that foreign company with the Virginia SCC before you could conduct business in Virginia. "

I don’t have a CPA yet (in the process of finding one) so seeing if anyone here can help me with this question so I can keep things moving. Thanks in advance.

Hi, 

I am currently on the hunt for my first property in Richmond and I am looking to vet some property managers.  BP has a hefty list so I am trying to narrow it down to a handful to start.  Any recommendations on ones to contact first.  Or maybe more importantly are there any that you would avoid based on your experiences?

 Hey Ned can you give a little more detail on what you mean by being behind in the load payoff?

Hi, I would like to see what others strategies are when buying points to lower a mortgage rate.

I know that buying points will lower the mortgage and create or provide a bigger cushion to cash flow. But how does everyone determine that sweet spot between a lower payment and more cash up front? Is there a certain break even point on the savings that you shoot for?

I am in the process of vetting property managers and I see that some will also oversee any construction/renovations. Some even have their own construction crews. I am looking to invest out of state and it sounds very attractive to have that service.

Anyone have any advice when vetting these companies, stuff to look out for, horror stories? Does it end up costing more or comparable to getting a GC and managing the additional relationship?

First time running numbers for BRRRR. I've read J Scott's estimating book and a couple of others. Do the numbers in this book hold up with today's pricing?

Any alternate/more reliable methods?

@Paul Camuto - nice segue into my follow-on question. I was getting educated on my options when I came across the 401(k) option as something that is more attractive in a down market since you may be paying yourself more interest than the 401(k) would be returning. Not saying that I have checked out all of the number but wanted to get some opinions on it. Yes, I have savings and also a HELOC. I agree using savings is more cost effective (pay no interest and no lost 401(k) gains).

What about HELOC vs 401(k) Loan? For those of you who have done the 401(k) why did you chose that over a HELOC? A fixed rate vs a variable would be more attractive right now with rates going up but my HELOC also has access to a much bigger amount. Note that I would plan to buy cash and refinance to pay either one back as quickly as possible.

Agreed. Super helpful. Thanks to everyone.