All Forum Posts by: Kevin D.

Welcome! If you own two restaurants then you should definitely have the entrepreneurial mindset to be successful. I forget what episode it was, but there was an investor in the BP podcast recently from Buffalo. It's definitely worth a listen. Best of luck!

Thanks @Dave Foster for the advice.  You're right, the truth was that I contracted with a Property Manager to rent the property and I can document that.

I've talked to my R/E attorney and a 1031 company and both agreed that my situation complies.  I've put the house up for sale and should have the other property under contract by Monday.  This should be a big winner if I can pull it off.

I bought a foreclosure SFH with the intention on BRRR'ing it. It's renovated now and I turned it over to my property manager 6 weeks ago, but he hasn't gotten it rented yet. I have since then found a 3 unit that I really like. Does anyone know if I can 1031 exchange the first SFH and roll it in to the multi? I was doing some reading about 1031's and it seems to be "like type properties". Both are investment properties that were/will be intended to be rentals...

I'm looking at a four unit that has gas heat for the common area and has 5 separate electric panels (1 for each unit and 1 for the common area).  Each unit has electric heat and would be paid for by the tenant.  A property manager I know told a horror story of a tenant taking a landlord to court because they had an enormous heating bill last winter because they had electric heat.  Has anyone ever heard of anything like this?  Are there any other stumbling blocks to look out for in this situation?

Four of my properties (8 units) are in one LLC and my accountant advised me that being a single member of the disregarded entity is not the best idea. I talked to my attorney and he is forming a simple trust where I will be the trustee and my kids will be the beneficiaries. The LLC is only granting 5% ownership to the trust, so we're not talking huge money here. I believe that as long as each minor child receives less than $1,050/year in income, they will not have to pay taxes or file a return.

This strategy seems to be killing several birds with one stone: 1. no longer a disregarded entity, 2. potential plaintiffs could not contend that the LLC and me are the same thing, 3. being able to distribute $ to my kids tax free (with limits).

There are some fees to form the trust and annual tax prep, but they are small relative to the advantages.  Does anyone use this strategy?  If so, am I overlooking something?  Thanks!

I use a Maseychik Insurance near Wilkes-Barre. They are always able to find a policy for me on vacant properties during rehab. Ask for Debbie, 570.829.6648. Let her know I referred you. 

Welcome, Cliff! I'm an investor in NEPA, shoot me a message if you ever want to chat.  

I'm a big fan of Kingston.  I live in the area and the small towns on the West side (of the Wyoming Valley) and South of W-B have been good for me over the past year.  In the last 9 months, I've added 8 doors and it has mostly been positive.  If you don't live in the area, most towns will force you to hire a property manager.  While I self manage, I have been recommended to one guy by multiple people.  I'm thinking about turning over a 4-plex to him soon.  I'll keep you posted if I use him.

Never hurts to ask.  Keep us posted!

@Andrew Powell-Sampellegrini Is he looking to sell the 6-plex? What's section of W-B is it in? Message me on here or email if he is looking to unload it. 

@Yonah Sturmwind I do buy and hold investing. I usually buy distressed properties, rehab them and lease them up. Sometimes I will buy off the MLS if the deal is right.