All Forum Posts by: Michael McDevitt

You would, if you are buying the property in the LLC. Otherwise, you would have to close in your name and then quit claim the property into the LLC, which is an extra step.

There are plenty of REIs who target college rentals.  There are lots of good things about that strategy and there are some bad things too.  That is the case with any RE niche you choose.  

I am sure someone will chime in who follows that strategy.  When they do, connect with them and ask them questions.  Be prepared to somehow return the favor of them allowing you to learn from them.  It is a win-win. 

I agree with @Christopher Brainard.  If these deals were the most important thing in the world to you, it would be easy to pick up the phone and call the real estate broker.  Only you can pick up the phone.  If it were me, I would give a call, remind him who you are and that he told you to contact him with any questions.  I would then tell him that I think I have a good deal, but need someone with experience to look over my shoulder.  Offer to cut him in the deal somehow and see if he will do it.

Only you can decide which area of real estate you want to focus.  For some reason, based on your post, I immediately thought, "he should look at becoming a RE agent."  A good agent must be able to relate to clients and communicate with lots of people.  But, as @Jordan Schoonover said, communication skills are important in just about every RE niche.

Find out who the regulars are at the REIA meeting, send them an email and introduce yourself, tell them why you don't go, and invite them to breakfast - your treat. Or simply look for local REIs here on this site and connect with them.

It is an improvement to the propoerty, so it should be depreciated, over 27.5 years.  

@Peter Botz, here are the IRS rules for Real Estate Professional designation.  https://www.irs.gov/businesses/small-businesses-se...

It is a bit tough reading, but the summary is, to be a RE professional you have to spend more time in RE business than other businesses or work (majority of your time) and have more than 750 hours a year in RE.  

I am a CPA - let me know if you have questions. 

@John Thedford is right.  

If the agent isn't acting promptly (or at all), getting the MLS alerts are not doing you much good. I would call the agent and ask why he isn't getting you into these properties promptly. If he isn't doing the job, get one who can - there are plenty of RE agents our there. How about searching on this site for a few right in your area? If they are on here, they will know how to take care of a REI client. Interview a few and pick the one who you like best.

@Nathan Miller is correct.  You can make an offer for any amount you want.  In this business, most offers are rejected.  It is part of the business.  If your number is lower than the seller will accept, you can hear his counter offer or just move on.  I made a verbal offer yesterday that was rejected as "way too low."  That's okay by me, the owner can continue to look for a buyer who is willing to inherit the problems he has with the property.

It was way back in the 1990s, so my memory is a bit vague. But, I would say my first closing occurred about 3-4 months after making the decision to start out as a REI part-time. I also spent the time between my decision and the first closing, learning as much as I could. Luckily, my first deal was a great one and I was hooked!