All Forum Posts by: Sagnik Lahiri

Steven -
Thanks for the reply.

Let me clarify: I"m in CA, bought it in November. It's currently vacant...

I would like to continue doing flips as a business...

So, if I have a C or S corp - would the profit from each flip be counted as income and I'd pay taxes on the profit (after expenses) at the end of the year?

Hi everyone!

Bought a property under my name for a buy and hold. Got great interest and now I'm fielding offers.

Bought it for $110K, spent $70k in fixing it. Have 2 offers for $260K.

Now that the flip is a viable option, I'm afraid of my tax liability. I owe nothing on the property.

I'm trying to figure out my tax liability and how much I can reduce it by transferring ownership into a LLC or C Corp and selling it that way??

Thanks in advance.
SL

What about if you have a fix and hold strategy?

Do you guys thinking it's worth having a website where people (real estate agents and FSBO's) can get in touch with you?

I'm looking for my 2nd project and I'm contemplating starting a website which I would put on my "bandit" signs around the city ... a website that would include the type of properties I'm interested in (fire damaged, mold damaged, etc.)

Darius - I think you should look at Oakland. I own a duplex there and currently bringing in 2300 per month rent. I bought it for 80K and spent approximately 65K in renovation costs. I've had it for about 1.5 years.

I would strongly suggest Oakland. It's not as bad as people say - especially on the west side close to downtown. The returns can be great if you find the right property. As always, you have to do your research.

Thanks for the responses, guys. I appreciate everyones input. To further clarify my situation, it's a friend of mine that recently sold two businesses and has seen what I have done with my first property. He has made a serious amount of cash...which is not working for him at this point in time.

He offered to "partner up" by providing the financing for my next deal. At that point, I had no idea what to offer...or how to structure.

Since I did my first deal borrowing $ from family...I wasn't sure how to move onto the next stage...with what I called a private investor.

He's looking for a strict % return without having to get involved. I will be sure to read and re-read the responses above and proceed.

Feel free to add more if you wish!
Thanks, again

HI everyone,

I'm looking to get started on my 2nd project and I have a potential private investor who has expressed interest in getting involved with me but strictly on an investor level.

I've read enough to know that this may be a great resource but I need some direction to set it up correctly.

I would love to hear more about how you all have dealt with investors? How did you structure your proposal? What were your offers to them in terms of return? length of time?

Any of your best practices in dealing with a willing private investor would be greatly appreciated!

Thanks in advance.

I actually have done this on my first property.

The only difference is that I "live" in one of the rooms, so since it's owner occupied - it takes a lot of issues out (occupancy, etc.)

I picked the right tenants and it has worked out for me. I get my rent every month, the place stays clean, etc.

It creates a lot more headache if you are looking at it as a long term strategy.

I know in Chino Hills you might be able to get students from Cal Poly Pomona. Renting to students is usually a lot safer than an adult that can only afford one room in a house.

I went to school at CPP and I had a lot of friends rent houses/rooms in Chino hills.

Jon -

I'd love to hear about some of the questions one should get cleared up with the hard money lender.

They usually lend on ARV; what sort of questions should we ask the lender?

Points?
Terms? I've read that HML isn' t for long term - so, whats LONG really mean? Max 12 months?
Interest Rate?

I know the REFI process can be a bit of a gamble. Would it be easier to just do rate and term?

What can we do ahead of time to ensure a higher chance of a successful REFI?

Thanks in advance

I'm not sure what is more feasible for an investor starting out...

Is it getting a good deal and passing it on? Or getting a good property and flipping it?

Either way, I know I'm going to need bandit signs and start frequenting the local REI clubs to network...but do you guys think I need to be 100% committed to a strategy?

Or is being flexible not a bad idea?
Thanks in advance.
SL

Yeah man. Area code...city of Pomona, San Bernadino...

City of POmona is a good place because it has a university as well as a working class city...so section 8 will be good.