All Forum Posts by: Peter John K

thx for all the info i plan to start doing the drive bys next weekend for now i am looking on GPSat the different areas that the homes are available I'm thinking massapequa because its not to far out from the city and i see a lot of big boats out there so i basically for now because since I'm not to familiar with real estate on long island I'm looking to see which houses have the biggest boats in the back because I'm thinking the more big boats the more rich people and possibly the demand will be higher when i do decide to flip the house... i guess ill pick my houses first and than look into the municipalities that they are located in because i plan to have a list of 5 or 6 homes that i WOULD BUY but just buy the one that is at the best bid because i don't want to do all the homework and get into a biding war over one house so i plan on having a range of options so i don't overpay or walk away empty handed

thank you @Mardochee Pierre very much although i do plan to flip it for a profit i would like to live there a year or two and make it a vacation rental when I'm not there and really don't want an inland house although i do notice a majority of the waterfront homes are actually just on a canal and there is the whole hones beech long beech rockaways etc... acting as a wall in my opinion.....

mainly could you perhaps recommend an experienced inspector that could assist me when i visit the open house... they do provide all sorts of inspections and property information but i just don't trust them after all the whole thing is organized by some 3rd party company making a profit off the 6% commission at the auction so obviously they could be less than truthful... also any information from the state which owns the homes at this point i really wouldn't trust because i know the state can say one thing and than a local town official could come around and say oh no no you need to teat that house down etc...

SOOO... I was browsing the web looking for different deals and yada yada yada i see this advertisement for a 2 day special auction where 150 sandy damaged homes and lots will be auctioned and 24 with water views and 70 with actuall water frontage bulkhead etc... 

the cheaper ones had pre storm values 220k-550k and starting bid under 100k but not on the water

the waterfront homes with that start under 100k are all scheduled for demolition HOWEVER there are a few starting 110k-240k with pre storm values of 450k- 1.2million...

So they had the brochure for free on the line but make you purchase a information package with all the due diligence from title reports to sales agreement for the properties...

So personally i will not consider a property scheduled for demolition..... Is it possible to get a good deal and be able to rehab the house and get proper insurance or will i be forced to rebuild anything i get thats on the water??????? 

i like being in the NE in the summer AZ gets a bit to hot for me and last summer i almost bought a boat until i found out how much it cost to keep it in the water and than pull it out and store it over the winter.... So yea thats why i really want to go to this auction i have no experience with water/ storm damage i just want a place to keep a boat...

What are some best case and worst case senarios the pictures of most houses with the open houses have dry wall cut out about halfway up the wall and most floors ripped out except for some plywood etc.... the ones with no open house have been deemed unsafe for entry by the State of NY so they obviously need more repairs than i am willing to do....

Thankyou all in advanced

have you thought about starting a corporation based in nevada... i believe they have no corporate income tax in nevada than you might be able to re invest some of the profits into more real estate deals and give yourself a salary although I'm no tax professional but you may be able to not live there and save on most of the taxes and than just pay income tax on what you need to use for yourself and reinvest the rest of the money and figure out how to write it off... Maybe find a good deal on a john deer backhoe write off what you spent on it and than rent it out or.... If your eyeing a new pickup truck you could probably get the 75000$ king ranch heavy duty f250 and write that off... If i had to chose between paying 100K in takes or 40K in taxes and buying a nice big truck and backhoe...

i hear people talk about llc this and s corp that to protect from liablitlities but what about tax benefits.... I did find a local document preparation service on CL once that charges 425$ plus 120$ a year for the custodial service and they set everything up for a Nevada corp and handle the yearly filings etc.... that CL add had me thinking a while although it may not be worth it in some cases but if you talking a six figure tax bill it may be worth looking into it...

I actually hope it does crash in 2016 because than i will have made enough money in 2015 to buy in for the long holds... I play the market all the time but I am young and far from wealthy so I'm a gambler and stick to options and go in and out very fast i have gone in and out of higher and lower tax brackets over night.... 

the market could crash this year and many say we are in for an earnings recession and in my view it could be any day bc if you just google S&P500 and look at the chart in max view you will see from as far back as it will show up up up up down down up up up up down down up up up up etc...... we are due for a major correction soon although i think markets will rally some more this year and this coming earnings will generally be poor but not as poor as predicted so the market will be looking good and the FED will raise rates at the end of the summer than yea after the holidays things will be super slow higher rates higher costs and with the oil prices and political movements more volatile than shares of tesla maybe yea a big crash and some people will lose it all while some people will be buying it all waiting for the next upswing its the cycle of life...

Craziest thing i ever read about the stock market was that SEC halted trading on a bunch of medical marijuana stocks that were trading on the OTC market and i said WAIT WTF theres public pot corps lol i mean who would buy a medical marijuana stock... forget cooking the books what happens when the DEA burns the books so how does that work.... so aslong as there are people dumb enough to invest publicly in a company that is operating in a risky federally illegal business than yea the stock market can crash any day of the week for just about any reason...

do you have a few neighbors that you could make an offer or is the other boundaries of the lot public streets etc... if so pick the one with the their house furthest from your lot and try to get a reasonable deal from them and than go to the other neighbor on the other side and say "hey so and so will sell me x land for y around can you do x land for z amount etc... who knows you may wind up with the land for really cheap and you could say that when your done they might be able to get a discount on there property taxes since they own less property etc....

mhmm so than if the house sells before you have the new house framed up and (not sure about inspection timings and requirements in your area) it takes a year to complete it than where will you be sleeping... i guess if you had your DL adressed there and you stayed at your parents or a friends place you would be technically living there because they don't know if you have a mobile home parked there or not unless the area specifically prohibits it.... its very possible you could save the money on the taxes without ever moving into the new home but I'm no lawyer or tax specialist so you shouldn't take my word for it and it may not exactly be the most legal or ethical way to do so...

I never made any decision like that but how far along the new build are you?

perhaps you could live there while it is being built even if you happen to sleep eat and poop next door.... that could save time

I think the most important factor is where do you want to live because if you want to live in that area than it may be worth it unless you can rent a smaller more affordable place for less money and the main factor is you financing because if you somehow got a builders loan and have to refi or sell to make the ballon payment in a few years that where you may have the problems regarding interest rates... but least you have your current house already paid off than just re fi traditionally with a fixed rate and you'll be fine so when you sell that one for a profit your new free house really will be free and paid off even if the rates go up....

its getting to that point in our economy where people need to look closely at adjustable rates or short term ballon payment loans that will require a refinancing in a year or two when the rates will likely be higher....

well how long have you lived in the first house and how fast will you be building the second

ALSO i know many municipalities have limits to the size of a secondary structure BUT maybe you can build the new house as a guest house while your living in the main residence and than maybe even sell the both for a good profit to your buddy for what you could get for the two separately..... have him split it and than sell for no profit so he doesn't have to pay the taxes and yea i know he may have holding costs but just pay them for him and give him a few grand for his troubles it would save you two years of your life not to mention a small fortune in taxes :)

i actually did skip the whole second page but i saw a few people talking about oil prices stabilizing around 100$ a barrel........

Now that 2015 is more than 25% over and prices are still far from 100$ a barrel and i recently heard something about 100,000 layoffs in the oil industry in texas although i am not sure which part of texas

anyone getting worried????