All Forum Posts by: Shawn Regnier

Nice response @Ryan Blake very jam packed with useful tidbits!

I just completed an online course with https://www.rockwellinstitute.com/

It's time consuming, but put together very well. The cost is $269, and you have (2) mandatory courses to take (Real Estate Principals + Real Estate Practice), plus (1) course you can choose (Appraisal, Finance, or Legal Aspects). I chose Legal Aspects, and am glad I did; it brought into focus a lot more of the do's and dont's that the first (2) books touched upon.

I'm still waiting to get my exam date, and feel very confident in passing the first time, after taking this course.

There are other courses available, but I thoroughly scouted the reviews, and chose Rockwell. I've read other posters reply that they just rapidly clicked through the online pages while taking the online course, didn't really study, and then signed up for a "cram" course two days before their exam. Personally, I doubt many people would want them as their agent, but more power to them I guess. To each their own.

Good luck with your decision.

Thanks @Axel Ragnarsson, you are correct, my schedule is flexible; since all of my training is private and mobile (no big box gyms).

I was just in Manchester for Thanksgiving, and the 4 degree temp (before factoring in wind chill) was a point blank reminder of what I do not miss on some wintry days in NH.

I checked out some workable flips while I was out there, less margins than Los Angeles, but still some coin to be made.

@Bryan Zuetel thank you for the response, and link; I’m checking it out now. I will be obtaining my salesperson license hopefully in January; still awaiting my test date. I still have not reached out to brokers about hanging my license, but to be honest, I prefer to hang it with an online broker because I am doing this for investment purposes. I’m in Los Angeles, and will be flipping/rehabbing my purchases, and will be buying them under my corporation (which will have me as it’s sole member). I figured I would also have my commissions go through my corporation, from my purchased flips.

Thank you @Stanley Bronstein 

Hi @Geo Tan thanks for the "welcome aboard!"

I hear what you're saying about the market, and have been watching it closely in my area. I watched so many houses get way overbid on from MAR-SEP, that all I could do was shake my head. A lot of those same houses are listed now with very slim increases on their initial purchase price. Everyone likes easy cash, and I think too many new flippers were unrealistic on their returns when they overbid. Just my opinion of course.

There will always be buyers, so the changing market doesn't make me nervous. I'll keep my margins conservative, and reno predictions realistic rather than hopeful. I hope to chat with you about a project I'm involved with in the near future.

Thank you for the response @Eamonn McElroy, I generally read most of your responses to people's questions because I value your opinion. I will be using C Corp, since S Corp is just the designation, and will be the only owner.

I made my decision after reading a bunch of BP threads on the subject of LLC vs Corp, and I really liked a lot of what @Linda Weygant had to say in the threads below, in regard to corporations:

 https://www.biggerpockets.com/forums/51/topics/625641-s-corporation-tax-scenarios

https://www.biggerpockets.com/forums/51/topics/430130-s-corp-or-llc-for-flips

https://www.biggerpockets.com/forums/311/topics/434237-why-do-investors-choose-llcs-over-s-corps?page=2

Also, in the third thread I listed, @Albert Bui (a lender from Seattle) also made an interesting point in the last part of his post when he said:

"One big reason is that properties held in S corps or LLC's taxed as scorps (wait whaa, yeah LLC's can be taxed as partnerships, S corps, and C corps) when transferred have to leave at market value which might be a problem if you bought it for 100k and now its worth 180k because, thats a 80k gain you got on your hands when this property is transferred (unless if you transfer or sell it to yourself at cost basis).

The other reasons is like most people said regarding self employment taxes and avoidance of them in totality.

Another reason is you may not want to comingle your liabilities of your buy and hold properties with your active business (wholesaling, flipping, consulting, etc) which may compound your risk for lawsuits.

However, to the contrary I see tons of S-corps with investors or LLC's taxed as scorps for flippers or people who use their scorps for active businesses like hard money lenders and flippers.

The benefit of Scorp is that us conventional lenders like to see income surrounded by a veil of s-corp legitimacy even though its only a couple pieces of paper filed with the state. Magically your income within or flowing from an scorp is somehow more usable or legitimate in a lending context. (hint hint)

Albert Bui, Lender in TN (#345453), TX (#345453), WA (#345453) and CA (#345453)"

Hi there, I've decided to form a corporation in CA for my real estate investing in January. I will be getting my real estate agent's license in January also, as long as all goes according to plan. I'm choosing Corp over LLC because I will be earning active income vs passive with rehab/flipping and buyer closing costs; I am not holding any rental properties with this corp.

When choosing a name for my corp, are there any rules against what name I can use as an agent? Obviously, I'll try to use something that sounds related to what I am doing, but I don't need to include my name in the title, right? I wouldn't think so, but wanted to make sure.

Also, do you think it would be best to include "Investments" or "Properties" or something like that in the name, or should those terms only be added to investment firms, or rental agencies? 

Thanks!

@Costin I. @Scott Smith thank you for the links. They are now bookmarked for future reference.

@Holly McDowell would you please message me your contractor's info also?

Thank you!