All Forum Posts by: Hugh C.

Brie,

I'm sure you are using BP's guidelines about cash flow and you are careful about not pulling too much cash out on your appreciation.  As with my business partner ventures, my own rental properties are never leveraged too the max even if the current net rental income can cover the new loan.  One never knows what may occur to cause net rental income to suddenly drop for a while.  So many "investors" do not consider that scenario as they were pulling cash out of all the built up equity.  In almost 30 years of ups and downs of real estate I have not had any forced loss of real estate because all the loans were easily covered by even dropping rental income.   Rental income does not always go up each year.  Keep you wildest dreams from turning into nightmares.

Hugh

So the judgment was apparently recorded in the various credit reporting services so that when she applied for a loan the bank recognized the judgment in the credit report and required she pay it off to qualify for her loan.  Nice when the laws work the way they are suppose to work.  I wonder if people can win a judgment that includes an interest charge on the original balance due (ie. pegged to rate of inflation, etc.) so that the value of the payoff is not diminished over time.  Hmmmm, something to remember to ask an attorney.

How did you know the former tenant was buying a house years later and how did you apply the judgment such that the it interfered with her purchase of a house?

I've bought 4 SFH rental properties without visiting the out of state properties even once before or after purchase (Texas and Louisiana). It may have been luck, but all were rented easily after standard home inspection during purchase found no significant problems. It can be done, but in retrospect it was rather risky.

Marion,

I grew up in St. Clair Shores and posted a thread on SCS.  I agree that SCS is so much more desirable because on the lake side of Jefferson Ave are homes with canals for private boats.  I'm in escrow to sell my parents' house with a canal now.  I recommended those homes because they are easily rented too.

Hugh

I was reading about the owner liability for snow removal and stumbled upon this interesting Synopsis of Michigan Premises Liability Law pdf.  It seems the term "open and obvious" is helping defendants (ie owners) receive favorable court decisions.  The synopsis addresses "black ice"/hidden ice, wet surfaces, steps, changes in elevation, uneven surfaces, clutter, objects on ground, lighting, code issues, etc. 

Link to Synopsis of Michigan Premises Liability Law

I would have never sold any properties I acquired.  Absolutely I would have kept every property, even ones in other states. 

Here is the "Container Park" in Las Vegas.  I believe it was sponsored by Zappos which is trying to revitalize old downtown Las Vegas.  If they have been approved for personal property depreciation, that is an amazing deal.

https://www.google.com/search?q=container+park+las+vegas+zappos&biw=1366&bih=673&source=lnms&tbm=isch&sa=X&ei=PSVFVcOOFMGNNrOkgbgO&ved=0CAYQ_AUoAQ&dpr=1

LINK

OMG. I just heard that Rick Harrison (owner of the Pawn Shop in Las Vegas and the "Pawn Stars" cable show) is building a "container-style" mini mall on one of his Las Vegas lots.  But the biggest news to me is what he said during a live CNBC interview... The container-style construction is in the mobile home category thus making them a personal property, not a residential improvement.  He said he is allowed the faster 5-year depreciation on the personal property instead of the 27-year real estate depreciation!!  AND, he only pays property tax on the land value !!  Read about his "container" style construction.  If you learn more about it and the tax benefits please post or reply to me directly!!

[email protected]

http://www.reviewjournal.com/news/las-vegas/pawn-s...

Does anyone have their properties held in a Delaware Statutory Trust (DST)? I would like to consider it but would like to hear from those who have it and can describe their experience of using it as they purchased more properties, managed their properties, and finally exited from some properties. Have you had any legal cases in which the DST saved the situation from getting worse?