All Forum Posts by: Grant Pope

Thanks for the Tips! I will look into those and get those set up!

Not sure this is the place to do this or not.

I am looking to connect with Real Estate investors that are investing across Southern MN.

We have been buying and fixing up real estate over the past 10 years all across Southern MN (Rochester, Mankato, Owatonna, Faribault, Albert Lea, Burnsville, New Prague, Shakopee, Jordan). 

Lots of people in the twin cities but not as much across Southern MN!

Looking to Connect!

My name is Grant Pope from Waterville MN - I do a lot of BRRR's and fix and flips. Lately been doing a lot of wholesaling with our inbound leads. Run a family owned and operated Home Buying & Construction company here in Waterville MN.

Thanks for the time!

@Michael Smythe do you use any of these yourself by chance?

I have been investing in real estate for the past 7 years. I hire a property management company to take care of all the management side of our properties. 

We recently started our own construction company that does mostly our work on our properties but also subs out here and there. 

We use quickbooks online to track our time, payroll, and income and expense tracking. 

However - I feel like it misses the boat for what we are trying to do. We want to be able to create an estimate for a project and then track everything back against that estimate (Labor and Materials) to see how we are performing on each project. Though QB does an okay job of this it just lacks some of the finer details of this we are looking for. When you try to look at a project at an overview it only shows you totals and doesnt give you the granular information we would love to see. Would love to be able to see how each category is performing in real time. The other thing it doesnt allow you to do is go over on your estimates. Once you go over it forces you to add or update your columns. Which is fine - but we want to know what columns we went over budget on to try and stop from doing it again.

I dont love the idea of having a separate software's - one that tracks finances and one that tracks the cost. Its fine - but when we enter in expenses into financials we have to also come back and put them in the project managements tool. Fine if you are doing one or two but when you have 10 going its hard to keep up. Also dont like the overhead of paying for two softwares with all the extra work.

Any one else out there that has this same problem? How are you solving it?

Thanks in advance.

Hello all.

I am starting to organize some hard money deals with my close friends and family. I have an LLC that I plan on purchasing the properties through, and then loaning money from the friends and family paying them out a return of 15% on there money in about 6 months time.

I am being asked by a few of them how the tax process works and I am not sure exactly how to answer that question? When I pay them out there originally investment and the additional 15%. How does that work from there end and how does it work from my end? Do I need to send them any forms? How will they be taxed, etc.

Any help from those of you out there doing deals like this would be greatly appreciated.👍

@Chris Levarek - Thanks for the great information!

To answer your question about what my goal is. My goal is to scale into bigger apartment complexes. The number of them, the sky is the limit after that for me. I just have always dreamed of making deals on these complexes and owning them into the future. As I drool over some of the complexes in my area and look forward to the day I own one as well. :) 

You make good points about the cost of scaling and business and baking that into the cost of acquisition etc. All things I am okay with doing, at this early stage in my investing career I just want to know that I am structuring things in the appropriate order so that over time I am not running into problems as I scale. But as I am hearing from this forum, the way I am doing things now are correct. Just need to learn to build these things in as we move forward.

@Roni E. - Also thanks for the response. Helpful informaiton as well.

@Ryan Daigle

Thanks for the advice. I thought that maybe the case, but my accountant continues to tell me to simplify things if possible. But when each property is owned differently, I don't know if there is a better way. Just does become an accounting nightmare. I do all my bookkeeping right now on QuickBooks. I already have 4 LLC's created and can see the difficulty as I work on scaling.

But taking your advice, this seems to be the best way.

@Jaysen Medhurst thanks for your response.

This may be a little over my head at this time, but I have been doing some research about Private equity real estate funds. Is this also an option, or at this time not worth doing?

Hello All - Love BP and everything it has to offer. 

A question that I have is about structuring your business when you are raising capital. Right now I have 5 units, with a couple of different investors. Because the percentage of ownership in these properties is different, I have three LLC's created for the properties. Come tax time, this takes extra time for my accountant to file and cost me money.

I am trying to organize myself and structure myself the correct way moving forward. I have a few other deals in the mix right now that if I can get under contract will need to call a few private investors I have to help fund the deal. 

My question is: How do you structure your business when you are raising capital like this? Do you just continue to create more and more LLC's? Is there another way to go about this? I know a ton of people are raising capital out there for their business, but how is it strucutured.

Thanks in advance!!

Hello all!

I am a big letter writer. I am always out and about writing down addresses and sending letters. Just waiting for someone to respond. I have gotten a few responses and it is always interesting where things go. 

I got a response from a potential seller in an interesting situation and I am looking for some advice. The seller has a property that they no longer live in. I am in talks with their power of attorney because the owner has some major health issues they are battling. The property they have has major issues and needs a good fixing. With $30K and some sweat equity, this place could easily sell for $150K - $165K. The owners are extremely eager to find a solution to their problem. They have already contacted the bank informing them they are planning to go into foreclosure. They owe $110,000 on the property. I told them I am a cash buyer and interested in purchasing the property. But the amount they owe is a little too much to pay. The owners would love to work with me to find a solution to their problem, but they are not sure how to accomplish this. The mortgage is done through Wells Fargo. I have read a little bit about short sales, but talked to my local banker and he told me that there is NO WAY Wells Fargo will settle for a short sale even if they take a loss. They are so big that they have their systems that they go through basically regardless.

Here is my dilemma. I have a potential deal, with no competition, but how do I close it? Looking for some advice.

Appreciate all the help.