All Forum Posts by: Owen Dashner

Hi Craig,

I am a full time real estate investor and hard money lender in Omaha.  Congrats on getting started in Huskerland!

Owen

That is a stupid policy.  I am part owner of a title company - they still make closing fees on smaller size deals plus they also make money on title insurance.  Poor business practice in my opinion.  Small deals still keep the lights on.

Same as above - taking it down to the studs.  Electrical and plumbing may or may not be involved.

Real estate covers many types of assets and dispositions.  If crazy legislation was passed to make owning residential rental real estate not viable anymore, I would likely shift into a different type of real estate like self storage, industrial, retail, etc. that was not affected by weird, prohibitive laws. Or focus more on transactional real estate like flipping/wholetailing, or an ancillary RE adjacent business (hard money lending, brokerage, mortgages, RE tech, dumpster biz, etc.).

If I got bored with it or burned out, I might shift to more passive parts of REI like syndications or NNN leases.

 

A new statute called LB892 was recently passed in the state of Nebraska that will make wholesaling much more difficult. LB892 would require an investor who is selling equitable interest in a property to be a licensed real estate agent, or utilize a licensed agent to market the property.  This includes both assignments of contract, as well as double closings. 

If the real estate commission determines guilt, the commission can impose a fine not to exceed (a) $1000 per day that the individual is not in compliance with the statute, or (b) the amount of money earned by the person in violation, whichever is greater.  This is the citation: https://nebraskalegislature.go...

I have heard that the statute will take effect in July 2022 (although I have not heard an exact date confirmation).  Lots of discourse on both sides of the fence here.

This guy has an informative Youtube channel that does a good job giving an overview: 

I would like to hear from investors in other states where similar statutes have been put in place.  How did the real estate investing dynamics change?  Were wholesalers still trying to "game the system" and do unlicensed wholesaling under the radar, or via loopholes somehow? Did most wholesalers just end up getting licensed?  Leave the business entirely?  Use hard money and take down deals themselves?

I admit that I have mixed feelings about this - I have never wholesaled a deal, but regularly buy assigned contracts from wholesalers...

The fastest way to scale with limited capital is to become the deal finding expert, then partner with others for the capital and/or management once you get them under contract.

 Hi Alan, feel free to reach out over DM and I can put you in touch with Nick from my team who can discuss your deal.  Thanks!

@Henry Clark, I'd love to take a look at the CB properties if you don't mind sharing.  Thanks!

@Jesse LeBlanc I am correct for the state of Nebraska. I have talked to the Real Estate Commission and I am partner of a title company. Title companies here are going to take direction from underwriters and are going to be very leery of double closings from unlicensed folks. Too much risk of lawsuit from the original seller.

@Jesse LeBlanc there are several states that have included language in legislation that specifically outlaw marketing a property before owning it (i.e. you cannot double close via transactional funding because you wouldn't have an end buyer without having marketed the property before owning it).

Title companies will be taking direction on this stuff from the underwriters, who will be taking direction from the real estate commission in the respective state. Gonna be tough to get around this in many states.