All Forum Posts by: Joseph Ziolkowski

Great! Thanks guys I appreciate the input. Another entity question for ya... If I were to get my company set up as an LLC through an attorney and registered and all of that, would I also need to go to my county recorder and do the whole "operating under an assumed name" thing where I have to post the company name in 3 consecutive legal notices, or would the submission of the LLC be sufficient to have an up and running company?

Hi everyone! I want to form an LLC for my new wholesaling business and want to open up a bank account for it. My question is, my credit isn't great right now, and I know that banks are suddenly choosy about who they will open up a checking account with, let alone a business account. Does anyone have any idea if my credit will be a problem in opening up a new business account for this business? Thanks in advance! :cool:

Hi Courtney! Short sales are a great strategy now, but there's a good deal to learn before diving in. I would recommend that you check out John Zorrer online. He has a great, free website with lots of info to get you started.

Hi Rich! I was wondering, how common is it that the seller (assuming it isn't a bank) will actually ask for earnest money? Thanks!

Ha! That's true. They are just infuriating sometimes. You would think in the midst of all of this that they may want to unload their properties and make some money :) I'm pretty new at this, and the person that told me about it is definitely making it work, but she mentioned that some banks won't allow it, and that she just avoids them. Thanks for the input though, any knowledge from the more experienced folks here is always appreciated.

I actually just learned about it Will. In fairness, it was from a person who has done a good deal of these, but I have not yet had the opportunity to close a deal that way yet. Any thoughts to the contrary?

Hi all! I was wondering if anyone had any referal suggestions for wholesaler-friendly title companies in the south/southwest suburbs of Chicago, or anywhere around that area? Thanks for any ideas you guys may have. :cool:

This post is just fantastic! This was my biggest stumbling block, and I'm going to try some of these methods out. Thanks everyone for all of the great info!

Donna is right about that. Once your contract expires, there really is not much that you can legally do about the investor going behind your back. However, if the investor chooses to take this underhanded approach, I would make sure that every last one of my wholesaling associates knew about it, and good luck to the sneaky investor the next time he/she wants a great deal from any of us. Just blacklist someone that pulls that nonsense. Of course that only works if you have a network of sorts. Have you joined your local reia yet...? :)

Hi Ivan! While this is definitely a way to get around the non-assignment of REO properties, it may limit your potential buyers. Reason being that LLC's have yearly fees associated with them in most, if not all states, and may not fit in with your buyer's asset/tax planning strategy. What you would be better off doing is putting the deal in a land trust, and selling the land trust instead. That still gets around the whole non-assign problem, and land trusts aren't taxable entities, nor do they require any kind of maintenance. You can get an attorney to write up a boiler plate land trust contract that would be applicable and usable in your state, and just make copies of it anytime that you want to do it thereafter.
The way it works is that when you get the property under contract, you sign the purchase contract as "Ivan Jouikov, trustee." In a trust, that gives you the authority to assign the beneficial interests of your trust to the buyer, who will become the beneficiary. Once the deal is completed, you would resign as trustee via written and recorded notice to your buyer, and just step out of the transaction. Hope it helps!