All Forum Posts by: Kyle Grimm

@Carson Wilcox Maybe I should become a turnkey operator!

Just purchased this small 3 unit with a partner putting me at 11 units!  Found a motivated seller who was about 80 years old and ready to move to Phoenix Arizona.  We negotiated this property down to 48k.  The building is fully occupied with $450 rent per unit and just needs some cosmetic work.  We financed this deal with a local bank who was super easy to work with.  Excited to see how this 3 unit works out for us!  

Thanks for all the knowledge BP nation has taught me making this possible!

Hello BP! 

I am seeking advice on the correct way to structure this current deal I have under contract with a friend of mine. It's a 3 unit residential building located 25 mins from me. Laying small details aside, the property is currently under contract with my LLC (Oakridge Property Group LLC) and Clayton S (a good family friend). My LLC is made up of myself 60% owner and my dad 40% owner.

Initially, we did not plan on forming another LLC for this specific property but were going to keep it in Oakridge Property Group and Clayton's name. Our banker brought to our attention this could cause confusion with taxes at the end of the year and things like who would the rent checks be made out to.

What would be the correct way to set this deal up with the appropriate ownership if my dad and I want to keep our 60/40 ownership of Oakridge Property group and want to be 50% owner on this new property with Clayton? I appreciate any thoughts and advice! Happy Investing!

Hello BP! 

I am trying to gain more knowledge on the subject of partnerships and could use some advice. I currently hold my real estate in an LLC which I am majority owner of with my dad. I have a buddy who is new to the real estate game who would like to partner on his first deal. He actually just located a 3plex that looks like a great deal and would like to partner with myself beings I have a little more experience than him.

My question is... how should we structure our partnership the appropriate way? Should he form his own LLC and then both of our LLC's own 50/50? Should my LLC partner with him as an individual? Should we form an LLC together owning equal amounts of the LLC and then have it purchase the property? Or maybe none of the above!

Would really love your opinions on this! I know @Brandon Turner loves to partner on deals so I wonder if he might want to jump on here with some thoughts :)  

Thanks everyone! Happy Investing!

It is so much fun reading about everyone's careers! It's a different side of the BP Nation I have never seen before! Thank you everyone for all your input on my post!

BP Nation! 

After being offline over the weekend, I open up BP to find that my post is the number one trending topic!!! I have read every single comment on here and it never gets old.  It's so interesting to hear who the average BP users are and what they do! I hope this thread keeps alive because I absolutely love to read it.

This thread puts things into perspective for me and makes me realize that not everyone is a full time investor living the dream.  Most of you are hard working men/women who are smart with their money and have plugged away slowly over time to build your empire. I'm just so thankful that @Joshua Dorkin created this awesome community we have! 

Keep the posts coming!

No reason to be flattered @Scott Trench, you're a smart guy!  It's easy for me to think everyone here on BP is living the dream full time investing career.  But I have to stop and realize that you're right. The silent majority do work a full time job.  Having a w2 salary with stability would be huge at this time of my life.  I am 100% commission in a job that takes years to build any sort of traction.  If in 10 years from now I would like to be full time in real estate, I need to ask myself if it makes more sense to have stable w2 income now that makes my financial picture look better for a bank and allows me to save more.  

I think you have the perfect model right now earning a living at BP, which not only gives you the steady income to invest with on the side, but also surrounds you with like minded people where I am sure you are constantly learning.  - let me know if you guys are hiring ;)

"Real Estate is a tool to help me produce income and build wealth capable of supporting a wonderful lifestyle on part-time efforts at most." Love this Scott! Thanks so much for your input! So much to think about!

So @Caleb Heimsoth will you plan on ever being full time in real estate?

@John Gach make the plunge!  

@Travis Tannahill I am currently experiencing that "starving to death" period.  It is definitely a long build up process but if you stick it out, I'm sure it is very rewarding.  I hope things continue to go well for you!  Thanks for all your input, Travis!