All Forum Posts by: Benjamin Cowles

 Awesome. I haven't even started marketing yet but I'll keep your advice in mind when I do. And you may hear from me as I'll be needing some help once I get going. Good job with that deal. 2006? Where's that? Upper cape? Seems they're doing a lot of developing there. 

 LOL, great response. I'm sure I'll be taking to you again either via pm or a thread. I've a lot of new info soaking in ATM. Thanks

thanks all for your contributions. You've given me much to ponder/read up on. Will return if I've other questions. :)

Hey @John Thedford,  I've been wondering about the details of this loan origination part. Is this the main way it's done? Are there other routes/sources to accomplish this? I see we close to each other; would you mind sharing what company you use and what it costs? Do they have the legal knowledge to advise on the details personal loans or could one get loan origination done through a particular type of attorney? One last ?: would this be the same route a buyer would lead a seller through for the purposes of a wrap around financing situation? Thanks

I have a friend who's looking to buy his first home who has no credit, no down payment, but a steady job and I told him once either one of us find us a good deal (under 80k ARV that I could get at

How should I go about this safely? Specifically, how should I collect the down payment? A separate loan? What if I charged the highest possible interest rate until I was able to pocket so much $ then we could refinance the arrangement at a lower interest rate? How would you do this?

Another issue, suppose we find something needing repairs and I don't have enough cash to fund them and sell him the home as-is, he wouldn't be able to refinance with an FHA loan until those repairs are made correct? What would you do if you wanted your cash back earlier? Sell the note? Is that a viable option? Do I put in the contract he must take care of the repairs himself before a certain date? Ideas? Thanks

so then do you guys do 1031 exchanges on flips often? 

thanks , @Elizabeth Colegrove and @Brian Gibbons for conjuring up @Steven Hamilton II and @Timothy Murphy III (from medievel England everyone sound like. Me too really. Now reread this thread with English accents)for all your help. Lots to look into but the 1031 exchange seems something to plan ahead for. Though Mr Hamilton, so you're saying, suppose I fix and flip a 100k property, of which  I earn a 30k profit I would end up with 15k or less from that when all is said and done? I've read a lot in here on numbers on flips and what factors to leave cushions for but don't think I've read anything about minus 50+% in taxes. That's insane. Gangsterism I'd say. I'd imagine if it were true there'd be more talk about it. Maybe I'm just missing it? Not seeing it mentioned in the formulas though it looks like a substantial factor. I guess because it's after the sale but still..

thanks @Jill DeWit but it's in there and threw me off. And yes, good article. I'm just obsessed now on filling the gaps in my little knowledge of taxes

 Yeah, seems high uh? And it got me thinking in general about taxes about how they impose them. Isn't it base on profits? If so and say you sell your 100k property wouldn't your taxes be based on what you earned if any at all in the that price above what you purchased it for? If you bought it in 2007 and it was worth 170k then well they can't take anything from that obviously but say it was purchased in 2011 for 70k netting you 30k, maybe he was talking about 50% on 30k? And only that seems absurd but in the blog he was saying 50k taken out of your 100k sales price. So I'm confused. Hopefully sometime can clear this up. 

Brandon mentioned in his blog here:

http://www.biggerpockets.com/renewsblog/2013/11/05...

that if you own a property free and clear you could lose 50%+/- to taxes. He didn't say much more than that but that took me as something I should read up on. Anyone know what he's talking about or what/where I could research on taxes for investors to understand the details on this?