All Forum Posts by: Michael Duggar

Hello - I was wondering if it is possible to shadow a home inspector for learning purposes if I am not involved in the property. I am having been looking at lower end homes in Philly ($40K-$70K) that need lots of rehab ($20K-$25K) but since I live in Queens was wondering if there are any home inspectors in NYC area that would allow us to shadow them one day during some inspections, preferably lower end homes for better comparison. I feel like this would be an valuable learning experience and help when I am viewing homes to be able to quickly spot potential problem properties I should stay clear of. 

I am not sure if that is even allowed, but if so, I would love to hear from any inspectors in the NYC area (or Philly inspectors if a weekend) willing to allow a shadow for a day. We are new and eager to learn as much as a possible. FYI, we can show proof of vaccination if needed. Thanks in advance!

We are looking to buy/rehab/rent a property in Philadelphia with the property in the name of an LLC. Based on our research it appears using a hard money lender is our best option because we want to include rehab costs. We are having an issue locating a lender to refinance with once rehab is complete to get out of hard money loan mostly because we would be borrowing less than $100K which even credit unions do not seem to want to bother with. We were also told a tenant with active lease may need to be in place before anyone would lend. We are looking to purchase properties maybe $55K-$70K that need an additional $20K in rehab.

Anyone have suggestions of specific credit unions or other local banks that may be willing to refinance once rehab is complete and ready to rent if the amount we need to borrow is under $100K? 

Thanks everyone!

To clarify, I don't mind putting down 25% but was trying to avoid having to put down 25% AND then pay another $20K in rehab costs up front so being able to roll rehab costs into mortgage would be great unless there is a way to not have to put a large down payment on an investment property that I'm not aware of.

I assume I would have to put 25% down for an investment property but was not sure if I could include rehab costs in the mortgage. So for the properties we are looking at even with rehab expenses the total cost would be around $90K so after a down payment I would be borrowing $65K-$70K.

Any suggestions for a credit union or community bank in the Philly area? I am looking to buy a property in Philly under an LLC, rehab it and rent it out. Also, I live out of state.

I would like to be able to purchase the home in the name of an LLC and also if at all possible include the rehab costs in the mortgage. Is that possible? Some of the big banks I spoke to seem fine with me buying as an individual and transferring to my LLC but generally do not want to give a mortgage for an investment property under $100K and also do not want to allow rehab costs in the mortgage. I was even told they would send an appraiser to determine if they would issue the mortgage to me as an individual but that they are very strict on investment properties and have even disqualified people because the home was missing carpeting. This seems rather strict considering the purpose was to buy a home in not so great condition and fix it up. Any input would be appreciated.

Hello All - I'm a new member so I have lots of questions. Curious about pros/cons of obtaining mortgage through an S-Corp/LLC or obtaining as an individual and then transferring to the LLC/S-Corp.

1. In general, what are the down payment and interest rate differences for individual vs LLC/S-Corp?

2. Can you purchase as an individual then transfer to LLC? I read if so, mortgage company may call the loan and make you pay in full.

3. Even if you can transfer, will you lose the separation of personal finances thus losing the liability protection? 

4. I read an article on this site about transferring from individual, to a Land Trust then to your LLC/S-Corp.

Just want to ensure we do this the correct way and not something that could cause us legal/tax trouble later. Any info on the topic would be greatly appreciated. 

Thank you for the recommendation Abel!

A few people and myself all live in different states and are interested in creating an LLC or S-Corp together to buy property in a state none of us live in. Wanted to see if anyone has a suggestion for an attorney in NY Queens or surrounding area. We have lots of questions as we are all new to this business and figured the expense of a legal consult would be wise. Trying to figure out pros/cons of LLC vs. S-Corp, issues with living in different states, buying out of state, etc. Any suggestions would be appreciated.