All Forum Posts by: Joe Norman

Probably not a popular answer, but I would get a good paying W2 job and start saving. You'll need the cash for downpayment/closing costs/renovations, and you'll need the paystubs for financing.

Worst case scenario is you get sued to perform on the contract, but that is highly unlikely. Must realistic worst case scenario is that you loose your EMD and your reputation takes a hit.

If the Realtor is being unresponsive then contact their broker.

LLCs are much easier to setup than S Corps, but offer most (or maybe all) of the same benefits which is why folks are using them. Especially investors who want a single entity per property.

Since this is your first time dealing with an eviction I strongly suggest getting a lawyer involved - especially in Baltimore City which is very tenant friendly. There are a couple in Baltimore who specialize in landlord/tenant issues (including evictions), shoot me a PM if you want a few referrals.

The IRS generally allows capital gains exceptions if you lived in the house as your primary residence for 2 of the last 5 years. Where were you living during the period of 12/01/2020 to 12/01/2021?  Just sending your mail to Virginia Beach doesn't make that your primary residence, what matters is where you are actually living. If you were living in MD during that time then, unfortunately, it looks like you're paying capital gains.

This doesn't really answer your question, but a word of advice: avoid anything that may be considered a mobile home. The purchase/install price can be attractive, but financing is a huge PIA - especially when you go to sell it.

Good luck!

Hamilton is a solid neighborhood with appreciating home values. I consider it more of a neighborhood for flips than for rentals though, because most of the homes are large single families where the purchase price/reno costs generally are too high compared to the rent you can command. 

When I'm helping clients find cash flow rentals in Baltimore I'm usually targeting neighborhoods that are mostly rowhomes - the price:rent ratio on them is generally much more favorable.

Please don't consider real estate sales a side hustle/gig/part time job. Its possible to do it on less then 60 hours a week, but only with strong support. My advice is to interview a few local teams that provide training, mentorship, and high level back office support.

If you don't know the Best Practices for selling a home then you're probably better off hiring a professional to represent you.