All Forum Posts by: Karen King

@Bruce M

@Bruce M.  Do you have one?  I am in need of one as well.

@Anthony Andrew Young I am still in the process.  I found a hard money lender that closes in 5-10 days so we are still working on the paperwork.  I already got approved via credit check etc for the hard money loan.  This is my first interaction with hard money as my first deal was through seller financing so hopefully it all goes smooth.  They offer 90%LVT   10% interest  plus 2 points.  Im preparing for 35k rehab.  Hopefully I ran all my numbers right!  Thanks for reaching out!  

Karen King

Damascus Oregon

@Christopher Phillips thank you for your response.  

So I just won a house on Hudson and Marshall auction. The price was 206.500. The bank countered 207.600 I accepted. I am using hard money and got approved for rehab 30k plus cost of auction so im all in at 237,600. The ARV is 319k. Problem is the auction company is saying that I cant use hard money. Cash only. Isn't hard money a cash transaction? I'm totally confused and have until tomorrow morning to come up with an additional 157,600 as I have 50k in the bank from my first deal. Anyone with more experience have this happen to them? If so how did you get around it.

Thanks Karen, Portland Oregon

@Bret Ehlers  No, I did not purchase the rehab project with the S.Corp well I guess we might have we did have the attorney draw up the paper work with the business name.  Do you know of a strategist I could get in contact with?  I've been searching on BP threads looking for CPA but I've never heard of a strategist that I could hire.......very interesting.   I am wanting to get this problem addressed right away.  Thanks for the reply much appreciated!

@Ned Carey Thank you for your response very much appreciated.  So, we are in year 2  in our first deal, so yes we have made a transaction but no money has went into the company everything we have done to the house has come our of our pockets.   Glad to hear having a business that happens to be poorly run and looses money is perfectly legal!! I was laughing so hard that is exactly how I feel.  Like a horrible business owner.  Trial and Error should be my business name.   I will be checking with a CPA stat!!   Thanks again.  

@Derrick Aragon 

@Derrick Aragon So we had no business getting an S.Corp with no idea on what to do with it.  I am willing to hire a CPA I was actually afraid of them saying I had to file bankrupt or something.  My best friends husband is a CPA but works for Nike and has no idea about real estate stuff, so he was not much help.  I would really like to use the S. Corp  as we are nearing completion of our flip but I really do not know where to go from here.  Sorry for being vague just really unfamiliar with this business stuff and trying to educate myself, get our situation straight and move forward.  I would really like to use your contact that would be great, I will contact him/her right away and see where to go from here. Thank you for taking the time to respond.

I am new to bigger pockets, been listening to the podcast for last few months. I just went through forums on LLC and I feel like a total idiot. Here it goes. My husband and I attended a Guru investing tax lien seminar in Portland Oregon Aug 2014. We spent 1500$ for the 3 day course. Then on the last day they offered another course a "Ride A Long" in California.... big catch it was 40K. No way we could afford this but man did we explore every option to attend and we were really disappointed when it didn't work out for us. But we did leave with open eyes and a fire for real estate investing.....and it's still burning.

After a couple months the company called us and offered us membership to their website for free if we started a S.Corp C.Corp or LLC with them. So we started a S.Corp at the hefty price of 2600$ (they offered to break it down to monthly payments of 133$/month for like 18 months). We were very very green when it came to business (still are), my husband and I both come from poor Poor Dad families. We both work 50+ hours a week (our WHY is actually see each other during the week.). I am very fortunate for the education we received at the course but now I am worried about the S.Corp. We are approaching the end of the 3rd year (in the course they said you have three years to make money with S.Corp). We have never filed taxes on the S.Corp because we have made zero money.

In August 2015 we had a friend of a friend in distress she wanted nothing to do with her house and was going to give the house back to the bank.  The house was in shambles pretty much a total gut and 10k in debt to mortgage company.  We caught up the mortgage had paperwork drawn up on a 3 year contract with a lawyer and plan to finance the house in September of this year (would have sooner but I had credit issues and husband had tax issues we needed to clear up).  We have been doing all the work ourselves with the help of our awesome neighbor who is a contractor. The home is in a desirable area we got it under contact for 294,000 comps in area are 500,000.  Any advice on what to do with this S.Corp would be greatly appreciated.  

Thanks 

Karen King