All Forum Posts by: Paul OConnell

Eric - I am not sure if you are looking to secure financing through the LLC or personally, but there are a couple of issues with either strategy.
If you are looking for financing in the LLC, most banks want to see a history of cash flows, like two years worth of stable tax returns, as opposed to just showing a financial statement.
If you personally are looking for the next loan , I am not sure that you would be accomplishing anything, assuming your payment to the LLC would be greater than or equal to the debt service + taxes + insurance, you would be no better off than holding the RE in your name, for this purpose.

http://www.oftwominds.com/blogapril11/new-mtg-rules4-11.html

How about now?

If Donald Trump becomes president in 2012, I will personally give you $1,000,000. So yes, your life will get better.

Would you be able to increase the depreciable value of the house for the purposes of the LLC considering that the transaction would not be an arms length transaction?

I would be very interested to be in court if you ever get a chance. While I understand that a bank may not LIKE the idea of selling to a flipper in general, their interest should be solely focused on maximizing the recovery on this asset. What someone does after the purchase is immaterial as long as it is an arms length transaction. I would love to hear their legal argument why that should be a factor on a case by case basis.

One thing I would suggest to people is to check their target state's and a bunch of the counties in that state's websites. Many of them have FAQs and list the rules. You can usually cobble together enough information to get 80-90% there.

I think Don's #2 idea is the best if a home warranty would cover this stuff. I am not sure if they will cover a 20 year old roof in any significant way though.

Affirmed.

Thanks.

Can anyone tell me more about tax deed sales, specifically in the State of Michigan? I am looking to understand the nuts and bolts about how they work, how many investors there usually are, and whether they are as good an opportunity as they seem to be.

For instance, does the bidding start at the amount of taxes owed, or somewhere below that?

Do lienholders get "credit" bids or are they totally out of the picture? If there is a mortgage on the property, do banks tend to bid on the property?

If there is anyone that knows of either good resources to get this info, or is willing to chat abou tit, I would appreciate that too!

Thanks!