All Forum Posts by: Jan H.

I have tenants who have been great for years. If they are in a tough spot because of these crazy times, I would totally help them. I am in the position that I can, and that is the right thing to do. We have to remain humans and have empathy. I know over-leveraged investors start to panic now and do whatever they can to save themselves. That is a choice they made when they invested and everyone must take responsibility for that. People have short memories, unfortunately. 

If someone hasn't paid rent since January and hasn't been evicted or eviction proceedings started against...well, that is the landlord's fault.

The way I understand it, 'eviction-freeze' only applies to new evictions, filed after early-mid March.

@Rickey Smith were able to find any good contractors in Euclid? I am looking also... Thanks!

I wanted to ask for insight on collection-related matters in CA. I had to evict my tenants and obtained a judgement from the court for unpaid rent.  I am assigning this judgement to a collection agency.

Now the property has been fixed up and I was going to file a separate claim against the ex-tenants via Small Claims for the damages they caused.

The collection agency is telling me that I do not necessarily have to file a separate Small Claims case for the damages, they could do the collection for that without the Small Claims judgement. This is something I have not heard of and always thought judgement would be needed for collections.

Does anyone have any experience with this in CA? Thanks!

Just wondering what methods landlords use to find tenants who move out, owe money and do not provide a forwarding address? The security deposit itemization checklist has to be mailed, and so does the potential small claims papers.

Can skip tracers help finding where they moved to?
Any advice is appreciated

I am planning to do a 1031 exchange with a property that is held in my wife's name. I need to transfer it to my own name as the new (target) property in the 1031 exchange would need to be on my name as it will be contributed to an LLC I am a part of.

Is it possible to do an inter-spousal title transfer now before selling the property in CA to my name and do the exchange after that?

Any advice is appreciated.

Thanks!

@Daniel Harbuz- I am not an attorney but I wold think that since the business is registered in DE, you have to use that sate for purposes of your contract. DE laws would apply as far as the agreement goes. You can operate in OH and when you file taxes, you file accordingly- OH will want to tax your income there, which would be credited from your DE tax liabilities. However, since you are a foreign national (I assume), other laws and reporting requirements may be applicable as well.

I would consult an attorney who has expertise in such situations. Good luck!

@Anthony Dray there are some good meet ups in San Diego and North County as well (SDCIA, NSDREI). Even though I am not in the wholesaling business, I can tell you that it is VERY competitive out there. Lot of hustle and money spent on marketing. I hope you can meet someone who's having success. So far I was unable to find a 'wholesale' deal that made sense to me. Please do not be one of those guys who underestimates repairs and overestimates ARV...plenty of those out there already...:) Good luck!

@David D'Errico, @Ned Carey @Katie L. - appreciate your time and inout! I figured every partnership is subject to negotiation and can be structured differently...just wanted to get some ideas. Thanks again!

I would like to get some ideas from you experienced RE investors out there on structuring a partnership my friend and I about to enter into.

We (two of us) are planning to form an LLC with some cash and start buying multi-unit properties out of state (we're in CA currently). Since we both have different amount of money available to us to invest, we'd like to structure the partnership in an equitable way so it is a win-win for everyone.

Let's say we all put in $50,000k each into the LLC as starting capital. We use the capital for down payments and finance the rest of the purchases through traditional financing. We both can get mortgages in our names and as long we finance the same amount of properties/loans, we should be 50-50 partners, meaning that all equity and cash flow as well as expenses/tax liability gets halved.

Here are the questions:

1. What happens if we 'burn through' the initial capital and only one of the partners can contribute with more capital? How would the equity portion/cash flow get split up?

2. Let's say partner A contributes the down payment and partner B would get the financing? Would a 50-50 split be acceptable? What is worth more: capital or financing?

3. How are responsibilities split-up usually? (acquisition, managing PMs and subs, accounting, etc.)

Since we do not have experience in putting together a RE deal, I wanted to see if any of you could offer some word of wisdom...much appreciated!