All Forum Posts by: Kevin O'Donnell

@Scott Smith I just read your article, thank you. Is it possible to turn our existing LLC (which gets taxed legally as an S-Corp) into a Series LLC retro-actively? Or do we need to start from scratch?

Scott, I'm literally slow-clapping from my office while reading this. This is exactly what I needed to know. Thank you for clarifying this, I really appreciate it. I will definitely checkout the "Parent" series LLC. Thanks again.

Thanks for the replies. The question is regarding fix and flips, but could also relate to the disposition of buy and hold properties. Would be great to get an attorney's opinion. But the concern arises if there is any legal action against the LLC pertaining to a past sale. If the LLC now owns a new piece of Real Estate, wouldn't it stand to reason that the new property may be at risk of seizure in a law suit that ends in plaintiff's favor? The plaintiff in a law suit pertaining to a past property may come after that new property to collect on damages. The whole purpose of LLCs is to limit personal liability, and limit exposure of real assets to 3rd parties. So is recycling LLCs dangerous in this regard?

I'm getting a few different point of view on this from equally qualified and experienced house flippers. 

Here's the scenario: you purchase a house using 123 Main St, LLC. You fix up the house. You sell it to an owner-occupier. All good.

But what happens to 123 Main St, LLC?

Can you purchase another would-be fix and flip with it?

Can you use it to do an LLC purchase wholesale deal?

Can you use it to do a buy and hold deal?

Can you use it to start that super cool social media marketing company you always dreamed of?

I always thought you should dissolve that LLC immediately. Because if there is a legal issue which arises between 123 Main St, LLC the new owners of the actual house at 123 Main St (or contractors, buyer agents, etc) that last thing you'd want is new real estate owned by 123 Main St, LLC. Because it would put that new real estate at risk, right?

Looking forward to hearing your thoughts!

My biz Just got approved for a $125k line of credit thru Kabbage. 16.5% over 12 months. No origination fees. For the volume of flips we are doing it makes sense to use them. Not sure who told you they don’t lend to REIs. I told them we flipped houses. They saw our numbers and approved us on the spot. Am I the first one on this site to pull the trigger?

Hi Folks, is Tampa still a good market for fix and flips? We are considering expanding to Florida this year. 

Hi @Ana Haynes I know this is an old post, but wondering if you could provide me with your contractor's info in Union City. We are looking to do a rehab here. Thank you!

Thanks @David Lichtenstadter if you or anyone in that group might be interested, I have a 2 family in Bayonne I'm looking to sell to a buy and hold investor. Please let me know!

Thanks Jason. I heard that the ferry service from Hoboken to NYC is shutting down. Not sure if that's true. Have you heard anything?

Anyone interested in investing in Bayonne, NJ? I hear there's a new ferry line to Manhattan coming later this year. Anyone have any insights?