All Forum Posts by: Mike S.

I would suggest having at least two banks:

A major national bank that will provide good services like Zelle to receive payment, good online banking with free ACH between accounts, cheap wire transfer fee, good credit card, ... I've been happy with Chase and left Wells Fargo after too many frustrations.

Then a local bank or credit union, to build some history with them and benefit from their usually better loan options.

Also, you will probably need multiple accounts anyway. One as escrow for your security deposit. You can also use another one for your taxes or major maintenance reserve.

Originally posted by @Gualter Amarelo:

@Nick Graziano I have had luck with both Capital one spark card and the chase ink card

 Same here, I got both for two different companies.

Are you talking living trust or land trust?

Structuring your real estate into entity like LLCs is usually tax neutral. You won't get any tax reduction from it, only more tax hassle (paperwork wise). Entities are mainly used for asset protection.

However, some would argue that by structuring you will lower your chances of having an audit of your taxes due to the lower ratio of audit for entities compared to claiming it directly in your 1040.

If you are using a multi members LLC taxed as a partnership, this LLC will only file an informational tax return (1065) and each member will pay the taxes on their own tax return, based on the K1 that the LLC provided them.

I have also been using Zelle for almost two years with great satisfaction.

If you are collecting your rent under a business account, just make sure that your bank accept Zelle for business account holder. Most of them do, but some, like Wells Fargo, will not.

It is not illegal if you are the seller or the buyer. You can't however be involved in a third party transaction for real estate or business without a real estate broker license (or a sale associate license working for the broker).

If you find a buyer (who is not you) for a FL broker, where ever you are, you can't receive any fee for it. And I don't believe that a broker will risk his license for you.

Are you able to physically go in person to a US bank? Is your LLC address in the US? If so, you should not have any real issue with any bank. They would require your LLC documents, proof of physical address (no PO box), EIN and your passport (maybe also proof of address for you).

Now if you can't go in person to a branch, you may have a hard time not being a US person. Your attorney should however be able open the account for you, but he may have to be a signatory on the account.

You could transfer the property to a land trust where you are still the beneficiary without risking the due on sale clause (Garn St Germain Act). Then you would later assign the beneficial interest of the land trust to your LLC. That second transfer is a private document not recorded anywhere.

https://www.youtube.com/watch?v=HWzAlfy8J6A&list=P...

Originally posted by @Mary Browder:

is Michael correct that purchasing the property as an LLC actually exposed him to greater liabilities?

My understanding is that if you bought the LLC that owned the property, you inherit all the prior liability of the LLC.

However, if you bought the property in the LLC, I don't see any difference regarding prior liability compared to buying in your own name.

That is why, when you sell a property that is in an LLC, some buyers would prefer to buy the property directly to put in their own LLC than buying the existing LLC with its possible prior liability, even if it is more expensive (broker fee, deed and tax stamp).

In the same token, when you sell a property out of your LLC, it may also be better to dissolve the LLC than to reuse it for another property later on.

If your ultimate goal is to have the property under your LLC, you can maybe make the offer under a land trust that is assigned to you. For the seller, it will still be seen as being a personal offer. But after the sale you can reassign the beneficiary to your LLC without having to create a new deed and pay new registration and transfer stamps or taxes.