All Forum Posts by: Gilbert Dominguez

The easiest way to find land upon which container homes can be build is not by looking for any special zoning but rather a lack of zoning, like no zoning designated land, or none building restricted land, there are actually quite  few but they generally will not be found in already heavily populated areas, However, most of these lands will be within an easy and a short driving distance to the usual amenities, and services. 

"real estate rental income will not qualify one for adopting a Solo 401k Plan", 

You will be providing the service of maintaining property in good condition, doing repairs etc., for the purpose of generating income. If you set up and LLC and you are the employee, the LLC is a pass through and you are considered self employed. Most real estate investors will qualify as self employed.

It is simple I leased the building to the LLC and as members of the LLC each tenant would pay their lease payments to the LLC not to me directly. In its operating agreement the LLC ended up having authority over the master lease so I kind of got two for the price of one a property manager that paid me rather than charge me plus the monthly lease payment or essentially the property management ended up costing me nothing.

I would first check to see when the mother in law unit was constructed and ask the seller if they know and if the work was permitted. Sometime a single family residents will qualify to have a mother in law quarters be built without the need to get a multi family zoning variance. In other words, it may be perfectly legal to have a mother in law quarters there. 

I once purchased a dulpex which was grandfathered in but existed and registered as one single address. I converted it to 14 studios because the building was 3 stories and had 5400 square feet of living space. I leased the entire building to an LLC and got all the tenants to become members of the LLC. I got one single lease payment from one single party and that seemed to work out just fine as far as the city was concerned.

The thing about syndications is that you are not the one picking which property to invest in. At least that is my understanding. You appear to be in a prosition to either work with the numbers or not invest. Think overall if you still stand to gain something then you need to consider if the something is enough for the little extra work and expense it will mean to you. Maybe try to invest in an Opportunity Zone to offset whatever added expense you might have to face by investing in Georgia, Just a thought. If you see your real estate investing as a single action or body then there are strategies to use to balance things out . This is my approach I never see things as stand alone deals. I always see how each deal will affect my overall investing system, kind of like keeping a general ledger versus account by account.

If it has to do with business then you are always better of if you consult with and run everything with a qualified attorney. However, based on the prevalence of this strategy I would think there is a perfectly legal way to do it. Many property owners are perfectly willing to lease to you with the right to sublease the same property. However the more you are will to be upfront and disclose your purpose to an owner then I would think that more they will be ok with your strategy as long as they get their rental payment as agreed and on time regardless of whether you are able to rent out to anyone through airbnb. 

I this was me I would be looking at touristy areas, places where there would be a great demand for temporary rentals. I for example always rent through airbnb when I go to Hawaii.

I bought a 2 unit building in Buffalo New York in the hopes I can attract people who want to visit or honeymoon around Niagra Falls. I plan to use airbnb there. Vetting is simplified and people generally pay in advance to Airbnb from which I get my rental rate of approximately $100.00 per night less Airbnb's cut. 

I could not possibly hope for a monthly rental average of $2,000.00/mo. on a $45,000.00 investment otherwise. 

Airbnb rates are generally more in line with and competitive against local hotel rates. In Honolulu Hawaii the lowest priced hotel room I could find was $200.00 per night and the average airbnb rate was $100.00 per night. 

I own a 2 bedroom 2 bath house right outside of Ho Chi Minh City, a city which attracts millions of tourist per year and almost year round. I purchased the house all cash for $12,000.00. I usually average about $2,000.00/ per month with it through Airbnb. I could do that in the states. 

It is the same as all real estate, Location, Location, Location !!!

https://cashflowbanking.com/

Here is a reference for you. Contact these people and they will explain what cash flow banking is and how to apply it to your advantage. 

Here is the thing about converting basements to living space. If the property did not originally count the basement as living space only that parts of the building can be included or counted in an appraisal so yes it is possible to pour a ton of money into below grade living space but then have an appraiser not count it at all interms of value. Next time find our before you go pouring money into below grade spaces.

It should not matter if contractors only provide you with estimated prices because thy are licensed they can be held to their contract price regardless if they are making money or not.That is the whole point of being a contractor. If they simply do not know how to price a job out then it is neither your problem but this tells you that you are dealing with someone that does not know what they are doing at all but it also falls on you because you did not know what you were doing either not knowing what things should cost. Just because a contractor comes in with a low bid does to imply they know what they are doing. I very seldom if ever go with the contractor that comes in with the lowest bid simply because I already know better having been a licensed GC myself for many years.

Unfortunately this happens. stop chasing bad money with good. Either force this contractor to do the job for the price contracted for or cancel your contact with them and get someone to finish the job that you can trust to do the job right, for the fair price, and finish the project on time. You may not be able to come out of it unscathed anymore. To me it sounds like you have handled this matter all wrong and now it is much too late. 

Sorry, and good luck with working this out.

I have done many such deals and I was a licensed GC at the time. Its not easy to get a developer on board . Expect this process to be very time consuming, I mean these of deal can take years. It is not like putting up rental on the market at all nor doing fix and flips. Your best bet is to develop the project to develop the project to the point of having approved construction plans then sell the whole project to a developer or a GC but even just that will take a long, long time. I can almost assure you that is will take longer then you ever thought it would.