All Forum Posts by: Account Closed

@Seth Parmelee is right. An LOI is sent anytime you begin negotiations for a lease or contract. The LOI is where all the terms are listed out before actually drafting an agreement.

There shouldn't be any legal issues there. The seller's agent is still getting paid and is aware that you yourself are an agent. 

I've let agents in my brokerage know that I'm in the market an for extremely underpriced 4-plex. The seller's agent should notify the buyer that listing the property could get a better price, but by selling to me (or you in your scenario) they'll have cash in hand much faster.

Specific rules might vary from state-to-state, but generally yes. Real Estate is one of the few markets where insider trading is very encouraged.

I know as an agent in Texas you just have to ensure that you're very open about what your wants are and you have to disclose that you are a license holder.

The downsides of a single large building are that it's less liquid and more vulnerable to sudden market changes.

That said, I would still go the small-med multifamily every time. It's significantly easier to plan, manage, and budget for one building than 20. When it comes time to 1031 into a larger property it's easier to sell the one building within the allotted time than trying to worry about 20 separate closings and this is before you take into account agent fees for all those buys and sales.

There are also more options in commercial real estate. For example, if you want the pros of multifamily but want absolute minimum management fees then you might look into a small self-storage space instead.

I believe Angie's List is kind of the big player in that regard.

I would say 24-48 hour written notice would suffice as "reasonable."

One thing to take into account is the time you wish to enter. Normal business hours are usually a safe bet, so if you present the tenant with a written (I would also send an email if possible, never rely on one form of communication) date and time block that you will be entering to show the property there is little they can do to dispute your actions.

Always remember that they can always take to civil court and being a landlord/property manager is one of the most litigious careers in the country, so make sure to document the process each step of the way to best protect yourself and your assets.

There's plenty of things that TREC does that I find baffling. They're a strange beast for sure.

Hey Patrick,

I can, and would love, to help with that. I'll PM my contact info and we can set up a time to discuss what's available.

TREC Chapter 537 Professional Agreements and Standard Contracts; 

(b) A license holder may not:

(8) employ or pay for the services of a lawyer, directly or indirectly, to represent a principal to a real estate transaction in which the license holder is acting as an agent.

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You can probably get away with giving clients a list of various lawyers, but even then it's best practice to just have them call TREC and get a list of RE Attorney's themselves. I'm positive plenty of agents break this rule without even considering it's a thing, but it is an extra liability that you just don't need.

Hey Taylor!

Commercial is all I do, I'll PM you my number. Feel free to give me a call whenever you're next free and I'll be happy to give you some tips.