All Forum Posts by: J M.

Guys... anyone could explain to me how the trustee guy is buying all his properties? There is this title company that is owned by Mr X and he is the trustee and also investor. Isn't there a conflict of interest that he buys these?
I am having trouble understanding why the trustee is needed and when he is used, before it is an REO listed on the MLS.. kind of confused.. anyone would like to explain the need of the trustee and why he is needed?
thanks a ton

the debt was assigned to her per court order. Credit card companies won't take me off as they said they don't legally have to do it. I refuse to pay that off since we are talking about almost 20 grand that accounts for HER car (we paid off her car note with those cards to get a cheaper interest rate) plus I don't have a million dollars to pay that off and still be able to rehab my first house. Let's say I have enough to buy a 70k home and put another 30 in rehab.
So basically, I see it inevitable to have a dent on my credit as we stand. I am sure that many investors have come ahead in their careers even after having a bankruptcy, so I don't want to drown in a glass o water, but I do want to know what I would be missing by messing my credit a bit, let's say 6 months for what it seems. This just really sucks, but I have faith in the future.
Is it a bad idea to pay your contractors and materials with cash?
Chris: The new wife can wait as I will not be marrying anytime soon,... :)

I agree that your reputation is extremely important and that credit should reflect this.

I am asking this question because I may be really close to getting my credit damaged and at the same time I am just starting to set up my business and looking for my first, of hopefully many, flip.
I have never been late and have excellent credit, but I got divorced last year and have 2 joint accounts that the ex agreed to keep paying, but stopped. I have been paying them for the last couple of months to avoid hurting my credit, but this is not fair nor do I want to keep paying something I shouldn't. The ex wants to let them go to collection in hopes to settle them at 50% but the cost of this is MY CREDIT will be ruined! If this happens and my credit gets screwed for, lets say, a 6 month period of having lates and finally a charged off or settled accounts, will this doom me? for the near future as an investor? I am not foreseeing using my credit anyways for the next year or 2 as I should be fine, as a newbie, just doing one rehab at a time using my own cash. thoughts?

Guys, If i have the cash to invest in flipping homes, will I ever use/need my credit? If so, when or how in example?
Do I have to make an effort to keep it in good standing since I have cash, or I can be without?

Thanks

I was on the phone with the IRS and they transferred me to a higher level rep only to be told that I have to contact a tax advisor with experience in foreign gifts?? I know I have to, but how do you find such professional? Advise on that please..

Thank you, that would take care of the logistics of the transaction. I called Citibank international banking to find out the fees involved in a wire and it isn't expensive to wire the money for the sender, just $18.00.
You are right that the amount is not that much, but it still is a considerable amount and wanted to have the tax questions cleared before proceeding. Citi advised I call the IRS directly to find out.. why didn't I think of that before? LOL... I will report back.
thanks

thank you folks! I will set up in my own state., I will ask for a referral for a good CPA at my local REIA and attorney,, to clear up some doubts..
I appreciate your input!

Hi Vik,
yes that would be a problem for them as they went through a great deal to get the money to the US in the first place, sorry, but what is the problem that you see in wiring money from their US accounts to mine? issues for them and me?

Vikram, thanks for adding to the thread. I understand what you are saying, however you keep referring to the gift when it comes from outside the US when I have stated in this thread and previous post that In my situation the money from the foreigners is in the US already sitting in their bank accounts. So, assume that these monies were initially wired from overseas' banks into the US. From there to my bank account and hence I want to know how to minimize any unnecessary risks with uncle sam and how to best do this. I will have a friend and my father wiring me different amounts and need to be prepared and cover all my basis to avoid any trouble for me and them and carry out the necessary documentation. That is why I ask how would you, seasoned investors, set this up or do this if you were me and would be getting this amount of money from a friend and now I add, your father. thanks

I need to know how would you approach the following scenario.

You have a friend that owes your family some money, so he will be giving you 50k. He has the money in his bank account.

Logistics wise, would it be better that he just wires the money to my bank vs going to a local branch and depositing the check into my personal checking at my bank? what would you choose?

What are the implications for me for depositing such amount? Would that be considered a profit? He is not a us citizen, whereas I am. I know abut the gift tax, but if he does not report taxes in the US, why would he pay any for this gift right?

Will I have the IRS asking me how or why I got this money? What if the amount was 120k? would that make a difference?

Anyone?