All Forum Posts by: Daria B.

 Ken-

I don’t have any steps or advise, although I too have looked into this myself.

If you have an attorney and CPA it might be good to begin with them to find out the pros/cons of doing this. 

I reference the CPA since there are tax implications of an LLC (although pass through to the individual taxes) verses you as an individual tax payer. There still seems to be some differences between these two however minor.

The attorney should be able to help with guiding the legal aspects of doing this.

It’s cleaner I suspect if you own the properties out right.

I tried to do a land trust and Wells Fargo still gave me grief - luckily that note is paid and I no longer have to deal with WF and hope never to again.

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Hey Gerardo

Long time how are you. I sent you a message with a contact. Let me know how it works out.

Daria

I am not looking for advise rather I am looking for passive or semi-passive investors and who they currently employ for property management in the areas named in the subject. 

I'm looking for PMs that are not highly restrictive with contract on dates and fees. 

Restrictive meaning, things like charging a fee whether they place a tenant or not and want to be paid if contract is terminated for the remainder of the lease although they are not managing. Or things like renewal fees or termination fees excess of what I mentioned on tenant leasing.

 Hi Chris 

That was a quick reply thanks.

It's moreso an investor purchasing the acquisition via another investors funds (JV) and the gap comes into play with another investor to fund the rehab. Since there are now 2 investors, one for acquisition and the other to fill the gap for rehab, I wanted to know what structure is in place for the investor providing the gap funding.

What you described seems to be the answer needed for the gap funding portion. Making sure equity exists but recording what? The note as it’s going to sit 2nd position of the acquisition funds?

@Chris Seveney do you have any insight from my question above. Thank you.

Hi -

I'm looking for structure from those who have done this - provided (gap fund) funds for an investment (REO) where the initial funds were supplied by another investor. As the person supplying the "gap", so to speak, it seems to be typical that 2nd pos is where the gap funder sits. I don't think both can be 1st pos.

How have others (you) structured this in terms of security? Meaning, it's lending money (gap) and being in a 2nd pos so how can one determine if it's a good viable position to be in. What secures the 2nd? Not sure how else to word it or what else to ask.

I've done 1st before and was 1st and only on deed but as 2nds go, not sure what is being secured or secures the money being lent. Also, a twist is that the money will be from a SDIRA, for whom I have already put in an email to for finding out their requirements on 2nds, if any.

Thank you

I bought a product called vamoose (? It’s been a while) I bought from amazon and it worked for me. It’s a spray and I used it to wipe down the base boards, blinds, windows, receptacles and doors. I also had an ozone treatment 4 times from one company. I paid once but since the company also continued to smell the smoke, they did the other three for free. It still didn’t do anything and I resulted in further research that lead me to the vamoose.

I read that wrong I thought she meant split not return.