All Forum Posts by: Leslie Zhang

Hi,

Thanks guys for taking the time to answer! I will follow those recommendations and look into the book.

Hello There,

Right now I'm having some issues with my contractor because his work is not up to code, and "sub-standard" as my investor friends call it. I'm having to get the AZ registrar of contractors involved, and fixing this has taken a long time.

I am looking to start my first project for a fix and flip soon (up until now, it's been buy and hold, or invest with others who are doing the fix and flip), and am wondering how to avoid less than satisfactory work that will eat up time and substantially increase holding costs.

My model would be a 20% downpayment, 80% hard money, and I pay renovation funds, but given my experience level with managing renos (very little), I am wondering how to avoid the risks of running too long with the loan and having it eat up profits.

Any advice please.

Thank you,

Leslie

P.S. Do I need to be in state during the entire span of the flip?

Hi Randy,

Thanks for your insight. I like what you said about factoring in essentials, and then just seeing what you have left to work with for design.

Hello,

I've been analyzing many repair estimates, and contractor bids. It seems repairs can be estimated on the age of the home, and the square footage.

However my question is - How do I decide which materials (based on price, aesthetics) to buy when stores like Home Depot, Lowes have a lot to choose from.

Does the contractor pick out a good deal of it, or is it all the investors discretion?

Thank you,
Leslie

Thanks for helping out :-)

Hi Bill,

I'll definitely call an attorney. What if there is no buy/sell agreement because instead of business partners in a company its a business owner and silent investor. In that case just the term life to cover the invested funds would suffice right?

Thanks!

Thanks for the replies and article links. The keyman insurance to fund a buy/sell agreement seems to make the most sense. Great solution!

Hello,

I myself invest into a fund and have my own investors (that are not shareholders in my company) and want to know the options for protecting every individuals interest in case the lead (or only manager) faces untimely death.

Is it best to use a will, promissory note, or other recording instrument? Share certificate may not be applicable in every project so I'd like to look at all possibilities.

Thanks and Happy New Year!!
Leslie

Hi Brad,
Thank you for your insights.

I did spthe with a US tax advisor who mentioned the 30% holdback (FIRPTA) could not be bypassed...

We do operate with an LLLP but I didn't know our investors needed to receive ITINS
I will consult with a CPA soon.

Do you have any recommendations for assessing a good CPA?..

Best Regards!

Hi Jon,

I did a bit of research on the regulation D corporation and will definitely reconsider that firm offering the 14K plan...

Also, will be looking for a CPA (yes that's what they're called in Canada) in the near future.

Thanks again!