All Forum Posts by: Mischa Talokonnikoff

@Brian G. thanks, getting lots of clarity on all this now! 

@Brian G. Thank you. Keeping moms house in my name and probably doing a cash out refi on it makes sense. I like the option of doing a plex with the funds. Just need to convince my fiance that a plex makes sense and no need to splurge on our own place just yet. 

@Rich S.

Correct. She's retired, has no money, familiar with her routine, etc. Family is all close and we still use that property as a family type spot. So all good on the expenses, it is what it is. @Tim Herman makes sense. Getting units is the quickest way to start all of this. Perhaps makes most sense to shoot for a plex and stay in one of the units for some time to plan the next move. All in all, I get passive income, acquire a property and live cheap for some time. 

Thank you

@Steve Hall

Thank you. Here's a bit more info. 

My mom won't pay rent because I put her in this situation. She is 73, has no money, I made her retire (not educated in modern world, skills aren't useful, works more detrimental than what its worth), and I essentially turned this house over to her to live her life in. I bought the house in 2005 for 102k, I was 18. Paid it off at 26, and realize that, yes she will be there, but I can still put this money to work. 

The suggestions of condos/mobile make a lot of sense. Especially in Fort Myers. Lot of good options, even mobile homes on the water that are affordable. I tried moving her to Tampa/clearwater (closer to me), but she is familiar with her routine down there, her friends, etc. Makes life easy for her. 

The house is actually in both of our names. I put her on the deed and she claims homestead on it. So my tax bill is nothing to complain about. Would I benefit by putting the home in an LLC and taking losses on the property, writing off expenses? It probably wouldn't make up the difference in tax savings and insurance costs that will increase by having in a biz name. And I probably won't be able to get a financing out of the property if not in my personal name.

Without Helocs, 16k. 

And, Fiance is along for the ride. But yes, she would like us to have a decent place of our own if affordable, start family, etc. 

@Tim Herman thank you. The portfolio route like this is how I’m leaning. Start earning.

@Thomas S. Great perspective, already becoming so, and I still have endless to-do lists when I visit. Thank you. No shortage of great condos down here either.

Hi BP,

Hopefully you can guide with the next steps, this is what I have going on.

- I Own a home in south Florida (fort Myers) that is paid off. My mother lives in this house, and will for the rest of her life. The value is 250-300k.

- I would like to purchase a place for myself and fiancé in tampa

- I would also like to start a rental/buy and hold portfolio

- I’m interested in knowing if these personal properties should go into business names so that I can write off business losses at my moms place(she will never pay me rent), so I’m just covering expenses).

It’s obvious that I have a lot of cash that is sitting idle. I can’t sell the house because my mother needs a place to stay. But, having that cash liquid would be huge. So, what to do?

Do I home equity or heloc her house? If I move it into a business name, will banks still give me a loan against the property? Is it worth putting in a biz/does it matter? Do I take out 200k on it and use it for multiple down payments? If so, do I put those in new properties (one for myself/one rental) in LLCs? Would I even get financing or should I just do one for now and pay cash to avoid second financing?

Thank you for your guidance. Trying to be thoughtful on my first move.

What an amazing accomplishment. Bask in your glory on this one! Congratulations. 

Perhaps with a decent appraisal you will be fine. But I  had difficulty with financing based on short terms rentals. Banks usually want to see a history of rental income which I believe is a year plus. Don't quote me on that, I'm not a banker.