All Forum Posts by: Kristin Kiddy

In terms of funding the LLC to purchase a property, if you need to use personal funds, you should write a promissory note from the LLC to you the person which includes a very small interest amount charged (1% or less ok) and a payment plan to pay back the money.

As for opening a bank account for the LLC, it is very easy, just go to the bank. I recommend a smaller bank or credit union as they are easier to deal with.

Your biggest challenge will be avoiding the whole single member LLC issue, which I am sure you have investigated. Single member LLCs are very exposed to liability. There are some different options to remedy this situation, but the solutions come with their own tax filing complications. I will let someone else get into the details there.

I have shutters for my rental.  I went over yesterday to help the tenant put them up.  Specifically, I wanted to make sure they were put up correctly.  I would have put them up myself, but he wanted to help.  My other rental actually came with accordion shutters on all the windows (One of the reasons I purchased the property!).  So very easy for my tenant to close up for a storm.  @Account Closed I think that is a great idea to notify tenants and remind them to bring in/secure lawn furniture and trash cans etc.   People always forget about trash cans.

Frank Ferrell, 1400 W. Fairbanks Ave. A, Suite 204, Winter Park, FL 32789

We addressed popcorn ceilings by scraping off and then having our drywall crew spray a knock down finish.  Faster and cheaper than sanding and doing a flat coat.  Especially if the popcorn was previously painted because it doesn't always come off easily.  DO NOT just scrape and paint!  If you leave gouges in the ceiling they will show and buyers will notice.  Make sure your flip looks professional and finished.  I've seen bad flips sit and sit on the market because they weren't fooling anyone.  Oh, and a piece of advice.  One of the biggest impacts you can make on a flip is to replace the flat panel doors with new masonite panel doors (different types of styles).  Find a door company that will match the hinges and bore holes to the original doors.  It usually costs about $75-85 a door (including the cost of the door), but so worth it.  Just make sure you mark where each door goes.

I don't know about Colorado, but in Florida you must have a license to receive compensation for any real estate activity including a referral fee.  In fact, we have a separate law that limits an apartment complex to only giving $50 to a tenant if they refer a friend to them.

@David Coatney, West Palm is a little too far south for me...I don't know the area.  I like Sanford and considered a rental investment there.  I like what they are doing with the downtown.  But the prices are higher in Sanford than in my area.  With an aggressive offer strategy and a willingness to rehab, there are still properties that can work as rentals here, @Account Closed  So long as you can accept a realistic rate of return.  I agree it is hard to find a steal.

Orlando is a huge area and it varies greatly with respect to rentals, crime, etc.  If you are looking at vacation rentals, you have to be outside the city limits.  The market is so competitive I think it is hard to make a profit.  My husband and I looked at vacation rental (having had one in Colorado) and we could not make the numbers worth our while.  We also investigated long term rental options, but we decided to have our properties closer to us for ease of management and also our better knowledge of our local market.

I agree with @Peter C. of course.  I have rental properties personally and the biggest prevention against a problem rental is to vet, vet, vet your renters.  As for problem neighborhoods, if you have ever compared the crime maps in Daytona to Jacksonville (and I have), Jacksonville makes Daytona look like a cakewalk.  Yes there are areas that are not as "pretty" but they often have a good rental market and good returns.  My broker has a full property management company and our properties rarely sit vacant for very long... the market is very good.

@Mark Pemberton How do you feel about Daytona Beach or Port Orange?

I'm not sure if Intracoastal bank will loan outside of it's area, but they are small and flexible.