All Forum Posts by: Phil Kurumunda

Hi everyone and Happy Thanksgiving. I am working on a few deals and wanted to ask, if there was anyway to verify the income that the seller of the property is actually listing in their current income/expense financials?(to a high degree of confidence). I asked for current leases and they were provided, but would it be too much if we ask for Tax schedules? I asked for the latter and it was outright refused, but concerned that leases could be falsified (I have a friend that encountered this and was attracted to high Caps and COC returns, but after purchasing the property, found out the rents were not as claimed, and expenses were much higher). Some state that getting a "certified" income/expense statement is possible, but the certification came from the seller so back to square one - please advise?

Thanks Curt.  I have heard similar.  

Hello - I am in the process of buying a few buy and hold investments. The terms on the mortgages favor conventional residential loans vs commercial, notwithstanding the bank underwriting grilling one gets from the typical residential conventional loan. It is very rare to find a conventional loan that will do business through an LLC. Commercial loans allow for this, and the underwriting is easier, but heavier terms are unfavorable for cash flow. (Higher down, higher variable rate, etc)

2 Questions:  

1) Can I transfer ownership of the mortgage to the LLC over time, some mortgage laws prohibit this and void the contract if this is done. However some bankers look the other way and dont care as long as you have a good payment and credit history.

2) If the above is NOT allowed, then what alternatives does an investor have to protect personal assets from unscrupulous tenants who may look to go after at personal assets in case of a lawsuit?  I know insurance covers landlords and the insurance companies have high powered attorneys to prevent these, but not sure if tenants can turn attention to personal assets. Any advise would be appreciated.  

Cheers 

Adam - quick question, what is a good source for property tax information. I usually could check local government sites, pop in the property address and check out the property taxes.  I could not find any thing for Scranton, or I am not searching correctly.  Again, appreciate the help!

thanks guys. You have been very helpful. Talk to you soon. 

Thanks all. Appreciate the sound advice. 

thanks makes sense.  I was told to always look for competitive pricing and rates. As a matter of fact I heard it from one of the podcasts that it does keep the PM companies on thier toes to ensure best service so decided to lose the question here.  What you all say makes good sense and will heed the advice. 

So I guess from that, your stating 10% is good and should not seek any less with unless sacrificing quality of services?

In my excitement, i forgot to ask for their contacts :) - how can I get a hold of them?

Thanks for the speedy reply Adam - Much appreciated!