All Forum Posts by: Jack Smith

Their quotes are fantastic - roughly half of my current provider!  They cover vacant units at same rates, too... ? 

Agreed with Remington; I've invested in SFH in Stark & Summit (Akron/Canton/Massillon cities) for the past 30 years, with family in it long before that. NE Ohio shrinks in population every year. Our industry situation is stable and we get some wins here and there, but not the job growth a Columbus area or other SMA's see. Rents dropped during the recession, taking years to recover and just recently started inching upwards. I've lived here much of my life; we have some pretty cool things happening and this is midwest Americana at it's finest. You can make a steady and consistent income here in investment properties but you won't see appreciation and general economic strength here outside of some very select pockets.

If I could do it again I would've been in Columbus a long time ago.  

Sounds like a legal question, and I'm not an attorney - however, I had my properties in land trusts for many years until eventually converting them into to LLCs just a few years ago. I recall them being commonly used by REI's in the 90s. I would say they WERE legal in Ohio and would be surprised to know they no longer are.

Please post your findings!  

@Peter Dials: Fairlawn area is nicer and would bring higher rents.  But it's also incredibly congested with access to I-77 and 18 is a through way to Medina.  That said, it's got about everything anyone would want and it borders Copley Township.  The Highland Square area is much older, more quaint, and more inner city.  You can walk to a lot of small businesses in the area, as well a desirable area.  I have to believe T&I are going to be higher in Fairlawn, so it may offset your higher rents.  

Great area!  Always in demand, rents range around $600 -$800.  I have houses just south of there and rarely have had any problems keeping them full.  

Do Lorain or Cuyahoga Counties re-asses taxes with a transfer?  

@Teri S. Right, but I want her and her family protected. I will feel out how strict her bank is with due on sale. After I pay it off the llc will transfer to me at closIng. I have an llc that will be the lessee.

@Teri S. ... and I could still have her move it into an LLC with no issues, correct? It's still in her personal name and we need to get that resolved right away.

@Teri Feeney Styers  ... ok, so two contracts:  

1.)  First for a lease w/ option to buy.  I need to take it all - paying mortgage, manage, insurance, taxes.... I need to spell all that out.  She will retain the benefit of the mortgage deduction.  

2,)  Second for a purchase contract for a future date (or when a mortgage balance amount is reached? say $5k?) and at that point my title company holds a normal closing?  

That sounds too easy!  Am I missing anything?  

Thank you Teri!  

I have a family member ready to walk away from a house she bought with an FHA loan right before the crash. She later got married and become an unwilling landlord. Values haven't recovered in the area and she can't sell it without taking a hit. She wants me to assume it but we're not really sure if it is assumable and I'm not taking on anymore bank loans. How can I take over the house without due on sale nor violating any laws?

Can we move a house with an FHA loan on it into an LLC or trust?

One thing I was thinking was I just take control of the property from her.  She'll keep the interest deduction (no biggie, it's not that much).  I'll handle all expenses and management, probably pay off the house in a couple years.  I believe I can do that without any issues?  But when the loan is paid off how does she transfer the title to me for zero cost?  

Any suggestions would be appreciated... 

Thanks!