All Forum Posts by: Greg Parker

2. Alabama

Alabama residents enjoy a low cost of living and a thriving economy. The state’s housing is also ranked as the fourth most affordable in the country.

Alabama currently has the second-lowest average property tax rate in the country at 0.4%, which helps investors keep more of the money they earn. The state doesn’t have rent control laws, but landlords are prohibited from collecting more than one month’s rent for security deposits. They do, however, have up to 60 days to return a security deposit after a tenant moves out.

If an eviction is necessary for nonpayment, landlords are required to send a seven-day written notice of the payment due. The landlord can then proceed with the eviction process in court if the tenant does not remit payment. Landlords can also evict tenants for illegal activity with a seven-day notice. If a landlord needs to enter a property for an inspection or repair, a two-day notice is required.

Thankfully our governor here in Alabama recently passed anti-squatter legislation.  So, now rather than it being a "legal" issue, you just call the police, they are forcefully thrown out.  Resist, go to jail.

Some guys are using this as a preventive measure.  If you have a potential tenant that "might not" be a good payer, just don't sign a lease.  Let them move in with a deposit and first months rent.  Next month if they don't pay on the 1st, call the police on the 2nd.  No lease, no ground to stand on.

Depending on the state, you will need a designated agent for your LLC, in that state.

Cash buyers will be serious, not just wasting his time with offers, 30-45 day closing delay, inspections, appraisals.  If title is clean, a cash deal can close in 7-14 days.

The entity formation rules will definetaly be different for each state.  

And, add a clause about gold-digging..lol.  That weird uncle everyone has will be glad to help take care of any family member disputes with unconventional methods, boating accidents, hunting accidents happen every day.

 If the child dies but I am still alive, nope.  Son n law is SOL.  I never liked that guy anyway.

Just work it out with multi-member LLC's. My wife and I have a child as a member on each property(last man standing gets it all). And have the deed/title worded the same.

Divorce, always be the bigger person, let them have it all. Karma will sort it out. 

Have no debt.  If you owe the bank 1M, you have a problem, if you owe the bank 50M, the bank has a problem.

2. Alabama

Alabama residents enjoy a low cost of living and a thriving economy. The state’s housing is also ranked as the fourth most affordable in the country.

Alabama currently has the second-lowest average property tax rate in the country at 0.4%, which helps investors keep more of the money they earn. The state doesn’t have rent control laws, but landlords are prohibited from collecting more than one month’s rent for security deposits. They do, however, have up to 60 days to return a security deposit after a tenant moves out.

If an eviction is necessary for nonpayment, landlords are required to send a seven-day written notice of the payment due. The landlord can then proceed with the eviction process in court if the tenant does not remit payment. Landlords can also evict tenants for illegal activity with a seven-day notice. If a landlord needs to enter a property for an inspection or repair, a two-day notice is required.

Our Governor passed anti-squatting legislation a few months ago which allows owners to have the police remove them as opposed to before where it was considered a legal issue for attorney's to deal with.

All good points. Some great tips I have learned over the years: bump every property liability coverage from 300k to 1M. It does not cost very much more. Get the umbrella policy. I think I pay $16/mo for an additional 1M personal liability protection. But, i do have a couple of LLC's, mainly for transferring property to children or spouse when I drop dead. Just have formation docs written as "last man standing" gets it all.

Wow, thats good stuff.  I wish I had enough sense to have started that early.  I would defintetaly be living on an island somewhere counting money.  Speaking of Islands, do you have any contacts on Dauphin Island below Mobile?