All Forum Posts by: Randy Rodenhouse

Full time in real estate and training/coaching individuals on how to invest in cash flow properties, private lending, tax liens, etc in a self directed IRA or solo 401k.

Rob are you full time?

Randy Rodenhouse

Joshua,

Here are the answers for me.

1) If BiggerPockets put on a conference, would you want to attend? YES
2) Would you be willing to travel (fly) to attend such an event? YES
3) Do you think 2 days would be adequate for a first shot at it? YES
4) What kinds of ideas do you have for sessions?
1. HOW TO INVEST IN MORTGAGES, REAL ESTATE, TAX LEINS ETC USING A SELF DIRECTED IRA OR SOLO 401K (I can help with this)
2. HOW TO POOL MONEY FOR BIG DEALS AND THE SEC RULES
3. I WOULD HAVE BREAKOUT NETWORKING SESSIONS FOR PEOPLE TO MEET EACH OTHER
5) What would a BP conference look like to you?
6) Of the real estate and other events that you've attended, what is the one thing that you've liked the most? I WOULD HAVE PANEL DISCUSSIONS ON STAGE SO PEOPLE CAN SHARE THEIR EXPERIENCES WITH OTHERS
7) The least? I DON'T LIKE MANY PEOPLE PITCHING AND TRYING TO SELL. IE PITCH A THON!

HOPE THIS HELPS

Jocelyn,

I can buy plain signs from my local sign shop BUT they are typically expensive.

I have found that the signs are cheapest and good quality at super cheap signs (google it) and you can buy blank signs for as low as $1.09 when you buy 100 or more.

10 $1.69
25 $1.49
50 $1.29
100 $1.09

Hope this helps. :D

Randy Rodenhouse
Wealth Black Box

Kristina,

I am in SC but work with some mentoring students in NC. NC is a great state and in fact Raleigh was rated the number two best city for growth, employment and affordability.

Good luck,

Randy Rodenhouse
Wealth Black Box

Based on the wording of your first question, I agree with Jeff S. on most aspects but not sure what was meant about "topping off loans". You can partner with your IRA as long as it states it clearly on the paperwork of who has contributed what undivided interest.

Many people ask whether partnering with myself is prohibited? While the premise is somewhat similar to a prohibited transaction, they're actually two completely different scenarios. The difference is based on who currently owns the property or investment.

If you, a family member, or other disqualified person already owns a property, then investing in that property with your IRA is prohibited.

However, in the partnering scenario, if you and a family member or other partner want to purchase a new property that's not already owned by a disqualified individual, this is not a prohibited transaction. The same thing goes with a lending money.

Here is a scenario based on your second question for buying a property but it could be used as a lending example as well

If you don't have enough funds for a cash purchase, your self directed IRA can purchase an undivided interest in a property.

For example, your self directed IRA could partner with a family member, friend, or business associate to purchase a property for $100,000. The friend could provide 60% of the purchase price ($60,000), and your self directed IRA could purchase the remaining 40% ($40,000).

All ongoing expenses must be paid in relation to your percentage ownership. In our example, for a $1,000 property tax bill, the friend would pay $600 (60%) of the bill and your self directed IRA would pay $400 (40%).

Likewise, if the property collected monthly rent of $1,000, the friend would receive $600 (60%) and your self directed IRA would receive $400 (40%)

I hope that helps.

Randy Rodenhouse

First, remember there has been some recent changes in the law for selling on owner financing and contract for deed.

In a nutshell.. as of October 1, 2010, in NC (please seek a competent attorney to make sure I am correct, this is my interpretation)

WRT Lease Options, the new law:
• Requires that contracts be filed on the public record, including the name and signatures of all parties along with a description of the property;
• Applies the state’s landlord tenant law to the lease portion of these agreements; and
• Gives renters the option to cancel lease option contracts if default occurs on the mortgage, and seek a refund for all money paid less the fair rental value of the property.

WRT Contract for deeds, the new law:
• Prohibits sellers who don’t hold title and are not on the mortgage from selling property under a contract for deed. You must hold title and be on the mortgage. Even if this nis the case there are rules to follow as described in the link above. Again verify with an attorney.
• Requires certain specific disclosures in the contract, including whether there is a mortgage or any other liens on the property;
• Requires the contracts to be filed on the public record;
• Gives buyers the right to resolve a default after being notified of it; and
• Provides buyers with a statement of accounts every twelve months.

North Carolina does not have the clearest of laws when it comes to interest rates. I know that for personal loans there appears to be some conflict in the law (see below if interested)

There is one provision in the statutes of North Carolina that provide that the general usury rate on personal loans be limited at 8%. While this provision does seem fairly clear on the surface, there is another provision in the statutes of North Carolina that deal with usury limits.

Under this second provision in the North Carolina statutes, there is a provision that establishes a usury limit at a variable level. This provision sets forth that the usury limit on personal loans at 16% or the T-Bill rate set for non-competitive T-Bills.

In addition to all of these provisions about usury limits, the statutes of North Carolina actually set no usury limitations specifically for personal loans that are above $25,000.

Pretty confusing I know. The bottom line is that if a person wants to make certain that he or she is in compliance with applicable usury laws in North Carolina, the safest course is to keep interest rates on personal loans at 8% or less.

Because there are so many variations when it comes to usury laws in North Carolina, you really need to seek out legal advice and assistance.

I found that out of area owners list (i.e. where the houses physical address is different than the mailing address on public record) bring in many people who have alot of equity and many times are properties that need some work since they have neglected the property for some time.

Just an idea! :D