All Forum Posts by: Nick Dunbar

@Jeremy Barren

Lots to consider here. If you for an LLP you would share the expenses at whatever percentage you delineated in your partnership agreement. Most the struggle comes with Lending.

Most banks do not like lending to LLCs or LLPs. Even fewer banks are willing to let you close in your own name and transfer the deed to a entity with permission. The bank can always “call the loan due.” Effectively saying you “sold” the ownership to the entity by transferring the deed regardless if you are a managing member in the entity and requires you to payoff your loan in a certain time frame. Obviously creates a massive issue and headache.

If you are going to do it (I transfer mine) get it in writing from a bank that you can transfer the deed. You will have the most luck (in my experience) with local lenders.

You have great starting capital. Protect your nestegg. Analyze deals constantly, ask for feedback from other investors, and be ready to act. Form the entity, find a lender, and an agent willing to write a lot of offers long before you are ready to get going. Finer point, if you don’t plan to buy until 2021. Don’t incorporate until 2021 or you will have a filing fee and a tax filing requirement in 2020.

Good luck! You got this!

@Ron Sponseller - yes, call the bank contact listed. If the bank already took possession then it already went to foreclosure auction.

Most bank contacts have a list of foreclosure properties. Things might not work out on this one but you might build a relationship with the banker and find another foreclosure in the process. A phone call never hurt anyone!

Good luck!

Has anyone used Nestegg property management? We have used Cozy and it is totally fine but we are considering NestEgg or a local PM. I like the idea and platform forNestEgg but wanted some real user reviews...

I’m negotiating a deal right now that has a bathroom that wasn’t permitted. My insurance company told me it should be a nonissue for coverage, but I feel like without getting it permitted before a renter occupies it I’m accepting more risk. Anyone have experience here?

@Elena Nelson you can do it. If you already are working with a realtor ask their opinion of things like the area, lawyers, inspectors, and contractors. You can find all the information on line but having a quick phone call telling your realtor the situation and asking for recommendations can smooth the process. I bought my first property without a realtor. If it is a good deal don’t let that deter you. Just do your own due diligence.

@Jason Hsiao

It’s rural North Carolina market.

I’m still a fairly green investor with a single unit under my belt, but came across a property on just over an acre of land less than .25 miles from a University. The vast majority of the students live on campus here; however, after looking at the area it is likely from lack of options. There are three small commercial apartments within walking distance from the property. Otherwise, the university is surrounded by single family houses.

I’m trying to understand where to start to evaluate this as an option. There are a lot of options here. Subdivide it and build two 4 units, get it zoned for commercial use and build, or buy the single family and fix it up to rent it out. I can do the numbers on the first option but don’t have experience in the other two.

Love to hear everyone’s thoughts.

I wanted to ask a simple yet complicated question about leverage on your properties. As a CPA, I’m aware of the implications of establishing your business incorrectly or the possibility of losing tax attributes due to oversight.

I’ve done some cursory research but still need some real world guidance. I have a property (my first property!) I’m negotiating on currently where they are willing to do seller financing, but to be conservative I’ve run the numbers both with a conventional loan and with seller financing. I’m planning to get the deed under my partnership at the time of seller financing.

After talking with a few local portfolio lenders, they advised me to finance it personally and transfer the loan to the partnership within 60 days. They have assured me they would not exercise the due on sale clause. The question comes in at this point. If I transfer the loan to the partnership do I lose any tax attributes such as depreciation on the property.

Thank you for any help or insight you can provide!