All Forum Posts by: William Murrell

Oh, duh. I didn't check which sub forum this was posted in, I just looked at the topic.  Thanks for clarification.

I'm sure there's a reason, but why did you exclude Brunswick, Pender, and new Hanover from the southeast nc list?  Great info!  Thanks for compiling and presenting.

That's quite an impressive portfolio.  Would you be amenable to selling a block of it, or is it all-or-nothing?  If so, what would constitute the minimum block you'd be willing to part out?  I would love to buy another handful of performing properties, but don't think biting off all 93 is feasible right now.

Welcome to the site!  If you want to learn the ropes and hear how others are doing it, you need to read everything you can on here and listen to the podcasts.  How should I start is far too broad a topic to be answered correctly in one reply, or even one thread on a forum.  But if you listen to the podcasts and read everything you can here, you can get a good idea of where you want to go and how to get there.  Good luck!

You ought to be able to form an LLC, but it will not "shield you from taxes."

I agree wholeheartedly.  The Charlotte and Raleigh threads might as well be from a different planet as far as I'm concerned.  I have wanted this for a long time but never thought to propose it.  

Good thinking!

Once it's REO, it's clear. They have gone through the process of buying it and paying off the liens like taxes, etc. You can always run a title search to verify, but yes. The advantage is that the bank has purchase it and cleared everything out. The bad is that now you'll have a harder time talking the owner (the bank) into a really good deal. They have clear cut policies on how they'll handle selling it from here out. And with things being what they are these days, they know that fifty other investors are right behind you just itching to make them an offer. But that shouldn't discourage you. You can still usually get a good deal, maybe just not an unbelievable one.

It's very important.  It certainly adds up and can help in the reduction of your taxable income.  Of particular note is the fact that whether or not you take advantage of the deduction each year, the IRS is going to handle it as if you did when you sell it and it comes time for depreciation recapture.  So let's say you buy the house now and hold it for 20 years.  A property is depreciated over 27.5 years.   So each year, you can depreciate 1/27.5th of it and use that to offset taxable income.  When you go to sell it in after 20 years, the IRS is going to handle that as if you took that depreciation every single one of the previous 20 years.  So you might as well take it if they're going to count it regardless!

Step one would be to get a title search run on any properties you might intend to purchase.  When you buy at a live auction, it usually is still sold with all attached liens and other claims to title.  You don't want to buy a house and then find out that you have a surprise 10k lien outstanding.  That can really destroy the budget.

I agree that you need to start mailing immediately.  It might take 5+ touches before someone finally calls.  It won't be that they either call on the first time or never.  That said, you might continue to add to the list each month, mailing 20 this month, 60 next time, 120 the next, and so on.  You'll be adding and subtracting as you go.  But you want to go ahead and get your message in front of them.