All Forum Posts by: Jeff Lubeski

@Billy Baumann  My criteria has not changed much.  My going in criteria for fix & flips is pretty much the same.  I have made some exceptions if the deal still looks good though.  Flipped a house without a basement last year because the numbers looked really good. As expected, the lack of basement hurt a bit on trying to sell it.  Still did pretty good on it though.  I also bought one without a garage, but the numbers allowed us to put up a garage.

For Buy & Hold the only change is that I've ventured into Detroit and have 2 rentals there now.  I'm optimistic about Detroit.  There's a lot of opportunity but it's a big city with a lot of varying neighborhoods and I've got a lot to learn. 

@Kwangmin Kim  My 2 cents.  You are describing several red flags.  I would not give the owner a $2000 certified check.  Is the current owner a landlord or owner occupant?  It would be very unusual for a owner occupant to have "their title company".  Even odd for many smaller landlords.

@Dave Toelkes

Wholesalers in my area typically assign the purchase agreement to you and charge a fee in return for the contract.  That seems like paying them for a service.  I'm not sure how you could count it as anything other than that.  When recording the property, it will show the price you paid not including what was paid to the wholesaler.

Thank you @Wayne Brooks  That is what I thought.

Is a Fix & Flip that took over one year to fix & sell considered long term gain?

House to be fixed and sold is held under an LLC that I have no ownership in. I invest money toward the purchase and rehab of this house utilizing a Joint Venture Operating Agreement. How would the earnings be taxed: business income paying self-employment tax (I think reported on 1099 MISC) or short term capital gains (I think reported on a 1099 DIV or INT)?

@Stan R. There are a few that I go to, most are not very close.  Earlier in the year, there was an effort to start a meetup in Livingston County.  That seems to have faded out pretty quickly and the Meetup Chair was taken over by the Ann Arbor Meetup group.  I've gone to the Ann Arbor meetings a few times.  I am a member of the MREI and often attend those plus there is an informal meetup monthly in the Troy area.

Welcome to BP Stan. I live in the area as well.  Hope to run into you sometime, perhaps at a local meetup.

Welcome Travis. 

I don't have anything available right now for rent or sale. I live just east of Howell in Hartland. Livingston County is a great place to live. I wish you well with your move and endeavors. 

welcome to BP