All Forum Posts by: Frank Ponticelli

Thanks for the referral Mark.  David - please feel free to give me a call and we can chit chat and see if I am able to assist you.

Raj - I tried to send you a note, I am not sure you got it.  If not, give me a call at my office.  Sorry for the delay, I haven't checked BP in a bit.

That is a great point Mike and I agree, but not everyone uses a title company for the payouts.  It also costs money to use the title company for the payouts.

For flipping investors in the Chicagoland area:  The more you know about lien waivers and the process, the better your flip will go and the quicker you will get your returns.  This is not intended as legal advice from me, but a general guideline on how to approach flips and lien waivers.

The number one issue title companies are experiencing is the increased number of mechanics liens tied to flips.  Title companies do not like mechanics liens as it costs them money, which results in making the flipping process more difficult.  Or does have to be?  Here are few tips on how to avoid this problem on your flips:

1) Create a file folder for you flip (both electronically and in paper form), so you get and maintain the proper documents stated below.

2)  Draft a summary general contractor (if you are the GC) plan or have your GC prepare a plan on what work will be done before you start it.

3) Identify and create a list of all subcontractors that will be used.

4)  Identify all materials that will be needed or used for your flip.

5) Prepare all lien waivers for all subcontractor and materials either before the process starts (this is ambitious - but is a great idea)  or at the time of paying your subcontractors.  

6) Lastly, get all lien waivers to your attorney prior to the actual closing.  DO NOT WAIT UNTIL THE DAY OF CLOSING, you will not be happy as you money will be held up.  The more time your attorney has to review and get approved the lien waivers with the title company the better the matter will be for you and your money.

Any additional recommendations or comments to the above is welcomed, as I only like to make the process easier for you and my own client's.

Welcome Dan, I hope everything is going well w/ your process so far.  I am an attorney and I do a lot of transactions throughout Chicago and burbs.  I also manage a building myself, so if you have an questions let me know.  Congrats on looking for your 1st investment property. 

Welcome Lucas, I live in the area as well.  I help a lots of people buy places as I am an attorney, I work with a lot of 1st time buyers and investors regarding the process.  I wish you the best of luck and if I can address any questions about the area, let me know

I love this issue. From my vantage point as an attorney, it really doesn't matter which entity you use as you will most likely be protected if you are doing the right things w/ your corporation. The most important thing to do is make sure you are getting the best tax savings tied the corp structure you choose. Everything I have learned and know indicates that LLC are a better corporate structure from a tax prospective and for purposes of transferring property without any tax penalties, but as an attorney that doesn't do tax work I recommend that my client's talk to their accountant. On the issue of Series LLC vs. not, I have discussed this issue w/ many of colleagues we have typically recommend not doing the series as it seems to make things more complicated. Obviously the biggest issue is to sit down and have a discussion as one set of rules doesn't always apply to every person the same way based their goals. Great subject matter and I am always willing to learn and talk with other attorneys, tax professionals and investors.

Check out GC Realty & Development. Mark Ainley who is on BP. Mark and his company and his crew are awesome.

I actually live and manage a building around Irving Park and Kedzie.  I think anything east of 90 is enhancing in values.  The area has strong rents with a nice mix of new construction homes w/out the price of north center or lake view properties.  I am also an attorney and have seen a decent amount of my client's closing in this area.  I am always happy to chat about this area as I have lived in for the last 10 years or so.

I have to say that last night's event was really awesome. I am really looking fwd to attending these events and making new relationships for my own personal needs and professional needs. Thanks for all that attended and I can't wait to interact w/ everyone next month.