All Forum Posts by: Patrick M.

Luka, there's an exception to the two-year rule if you're forced to move further than 50 miles because of a job change.

Thanks, Brandon. I figured as much but thought I'd check. 

We purchased a home last year that we were planning to rehab completely and then move into. The rehab happened, but the move in did not because my wife was transferred to another city. We've been in a rental throughout the rehab and are about to sell the house. Because we purchased the house under a primary residence loan, and our intent was to move in, we're wondering if we can make the argument that it was our primary residence and claim any gain tax-free. (The IRS allows for a pro-rated exclusion on any gains if you can show that you have to move to another city because of a job change.) Think this might fly? Or is there no way to get around the rule that you have to have actually resided at the property? Take it easy on me if you think this is crazy!

We're doing our second flip, and I'm considering buying our own worker's comp policy for workers on our project who we know don't have worker's comp (unlicensed/uninsured painters, carpenters etc). Yes, I realize it's much easier to just hire contractors who carry liability and worker's comp, and we're doing this for much of the work, but for smaller projects/day laborers, I'd like to have our own worker's comp even if it means everyone we're covering then becomes an employee (with payroll tax, etc). 

Any advice on how best to go about this? (I was told I needed to be a licensed contractor in order to even buy this, but I've since been told that's not true.)

Any other tips re: ways to avoid taking on liability for worker injuries for knowingly or unknowlingly uninsured workers?

Thank you

Thank you, Lee. I don't want to work with him in the future and don't want to pay for what he's charging me for this, but I also don't know that I don't know that I don't want to deal with small claims court/lien on the property/any of the other problems that could come of this if we chooses to fight me on it. It's ~$500 that may just be worth sucking up and paying.

Thank you, Wayne. You're right that I should have included some language along those lines.

There were previously two circuits for the entire kitchen (and the same number of outlets except the disposal outlet which was new), and he installed five circuits with five separate breakers. 

I have a contract with a contractor that states the following (as part of the larger contract: "Each kitchen will have five circuits installed (fridge, micro, 2 at counter, and one installed but not activated for disposal)"

He didn't calculate the fact that these additional circuits would require a larger panel, and he has added the cost of materials and installation to the amount owed. He's claiming this is discovery work and should thus be billed separately.  He had opened the old panel prior to bidding on the project and spent ~half hour determining what was needed in terms of new circuits as part of our kitchen remodel.

My opinion is that he should have done the math prior to giving me his estimate/contract and included the panel upgrade (and the associated costs) from the outset.

Thoughts?

Thank you

Thanks, Jon and Chris. Your advice to keep calling banks was good. After about 11 - 12 tries, I found a local bank that will provide a HELOC at 5 - 5.5% with the property and bank account in the LLC's name.

--Patrick

Thanks, Christopher! After posting, I did a little more digging and ended up talking to several local banks about home equity loans. None so far will lend if the property's held by an LLC (even if I guarantee the loan personally). I'd like to avoid hard money if I can

Thanks, all.

--Patrick

Hi,

I'm planning to start looking at properties in the SF Bay Area (East Bay) to fix and flip, and while I'm planning to pay all cash for the purchase of the home (for a variety of reasons), I'd like to know if anyone has suggestions about obtaining financing for rehab/carrying costs (if I end up requiring it).

Is this something a local bank might consider, or would I need to go with hard money?

Thanks!