All Forum Posts by: Mike Shemp

Thanks for the info @Stacey M.

Do you know if your handman and housekeeper serve the Outer Banks area?  If so, would you be able to provide their info to me?

Thanks!

SG

Hi BP Community,

I am hoping to get your help here.  My wife and I are closing on a property in Kitty Hawk and we wanted to find a good and reliable property management firm.

If anyone has any experience with property management firms, or can recommend one, it would be greatly appreciated.

Thanks,

SG

Hi All,

Can anyone recommend a good property management company in the Outer Banks that serves Kitty Hawk?

Thanks!

SG

Thanks @Jerry W. and @Ann Bellamy! All great information and very helpful. My "gut" agrees with both of you that the Wyoming LLC sounds like too much....and a NH LLC does feel like it has a place in my world.

Thanks everyone for your opinions and perspectives.

SG

@Account Closed - Thanks so much.  That makes perfect sense!  This property is located near the ocean, so it sounds like I definitely need to get the dwelling / replacement cost right on the DP2 and the flood policy.

Thanks again!

SG

@Account Closed - Thanks so much for the blog post.  I just finished reading it!  THat is very helpful and perfect timing for me.

Do you, or any other BP members know the answer to this question:  What is the relationship between the "Dwelling price" mentioned on the insurance policy, and if you have a replacement cost policy?  Does that generally mean that the insurance company will only pay up to the dwelling amount to rebuild the home, and anything past that the policy holder has to pay?  Just wondering how that works with "replacement coverage" because I thought the point of that was to fully replace what was lost.

It would be greatly appreciated if anyone knows the answer to this question.  It is really bothering me!

THanks!

SG

Hi @Tracy D.,

I had a similar question to the person that posted this question.  I am getting my first rental property (vacation rental property) and the insurance agent is giving us a quote.  I had asked for homeowners, along with liability insurance for any accidents/claims made by renters/guests in the property.  Also since it's near the water, I asked for a flood insurance quote since DP2 didn't cover it. My #1 concern is flood, and #2 is claims/accidents by guests/renters.

The company gave us a quote for:

DP2 Replacement Cost Insurance, and Personal Liability Insurance $1M

I asked for copies of all the terms/conditions/endorsements/exclusions and read all of them.  

Do you have any suggestions/advice on what I should look for in the policy to ensure I'm protected generally protected against a hurricane coming in and blowing the house away, or a guest hurting themselves on the property and filing lawsuits?  Also, the amount they have list for the "dwelling" seems a bit low.  Do I need to be worried about that, and ask for it to be increased?

Thanks!

SG

Hi All,

Thanks for the great information.  Here are some additional details.

@Richard Dale-Mesaros - Yes, all great points! Thanks for the revocable trust idea.  The main reason would be for asset protection, and the 2nd reason would be in case we do start renting it out in the future.

@Ann Bellamy - thanks so much for the great information!!! There is no mortgage on the NH property, so the due on sales clause shouldn't be an issue for us. The reason we are thinking of moving it to an LLC is because we are in the process of purchasing another rental property that *will* have a mortgage on it, that the bank won't let us put into an LLC, so we want to move/shield this NH property into an LLC for asset protection purposes (to shield it from this 2nd rental property that we can't put in an LLC). In addition to this, we are strongly considering renting out the NH property in the future so our other thought is moving it into an LLC may make sense from that perspective. I recently contacted an asset protection company about this situation, and their suggestion was to own the NH property in an NH LLC, and then have a Wyoming or Nevada LLC be the managing member of the NH LLC....with myself/wife as the managing members of the Wyoming LLC. Is this overkill? It sounded a little overkill to me, not to mention the various setup fees, and then the ongoing yearly fees to maintain it.

I wanted to reach out to the BP community to get thoughts on moving the NH property into an LLC for asset protection and potential future rental perspective, as well as any thoughts on the Wyoming-NH LLC structure that was proposed to me.

Thank you so much!

SG

Hi BP Community,

Just wanted to get some opinions on this question!

My wife and I own a vacation home in New Hampshire. We currently do not rent it out, and we are interested in moving it to an LLC. I am aware of the "due on sales" clause issue with moving a property into an LLC. Assuming that is not an issue, are there any tax reasons or potential tax impacts to us with doing this?

I think the answer is "no" as the LLC is treated as a pass-through entity, but wanted to get some other opinions on it.

Thanks!

SG

I am very familiar with many of the areas in the White Mountains.  We've been going there for more than 17 years, and own property there.  Please feel free to PM me for any questions!

SG